The New York State Teachers’ Retirement System, Albany, has renewed contracts with 11 asset managers, each for one-year.
The governing board of the $148 billion pension system approved the renewals at its quarterly meeting Jan. 30 The renewals didn’t require RFPs.
The renewals are:
- Arrowstreet Capital, for $3.3 billion as an international equity manager benchmarked to the MSCI ACWI ex-U.S. Index and as a global equity manager benchmarked to the MSCI ACWI Index, both effective March 25.
- BlackRock, for $1.99 billion, as a manager of commercial mortgage-backed securities, effective April 3.
- Cohen & Steers, for $1.34 billion, to be actively invested in real estate investment trusts and real estate operating companies, effective Feb. 12.
- RhumbLine Advisers, for $1.09 billion, as a passive international equity manager, benchmarked to the MSCI ACWI ex-U.S. Index, commencing March 30.
- Xponance, for $517.6 million, as a manager of international equity managers, benchmarked to the ACWI ex-U.S. effective April 25.
- J.P. Morgan Investment Management, for $400.9 million, as an active U.S. high-yield manager benchmarked to the ICE BofAML BB-B US High Yield Constrained Index (HUC4), effective March 5.
- Ariel Investments, for $353.4 million, as an MSCI ACWI ex-U.S. international equity manager, effective April 10.
- Principal Real Estate Investors, for $328.4 million, "to be actively invested in the securities of real estate investment trusts and real estate operating companies," effective Feb. 11.
- Raith Capital Partners, for $234.2 million, to act as a debt separate account adviser, “and in such role to advise on the acquisition, management and exit of public and private opportunistic commercial real estate debt opportunities,” effective Feb. 7, the pension system said.
- PGIM, for $176.8 million, as an active U.S. high yield manager benchmarked to the Bloomberg US High Yield 1% Issuer Capped Index, effective Feb. 21.
- AEW Capital Management, for $103 million, “to be actively invested in the securities of real estate investment trusts and real estate operating companies,” effective April 15.
The governing board also voted to approve a one-year contract to Callan, effective May 1, to serve as the pension system's general investment consultant. Callan was selected following an RFP, a pension system spokeswoman wrote in an email. Callan is the incumbent general investment consultant.
The pension system reported a net return of 4.9% for the three months ended Sept. 30, the first quarter of the current fiscal year. The annual assumed rate of return is 6.95%.
