Florida Prepaid College Board, Tallahassee, hired Income Research & Management and Neuberger Berman to run about $2 billion each in liability-driven investment strategies for the $13.6 billion Stanley G. Tate Florida Prepaid College Program.
The board's selections are pending final contract terms and negotiations, according to a notice of intent to award on the board's website.
The board issued an invitation to negotiate in January. Neuberger Berman was one of two incumbent managers; Northern Trust Asset Management was the other incumbent manager and did rebid for the services, said Jason Guido, senior financial analyst, in an email. The firm was included on the final shortlist of eight managers, Mr. Guido said.
The investment strategy of the prepaid program is only to meet the actuarially determined liability projections, and LDI fixed-income strategies make up $9 billion of the program's total assets.
