Japan's ¥7.18 trillion ($66.1 billion) Federation of National Public Service Personnel Mutual Aid Associations, Tokyo, hired New York-based Sanders Capital and Tokyo-based Nomura Asset Management to oversee actively managed overseas equities allocations.
The fund, known locally as KKR, announced the hire on its website but provided no details as to the size or scope of the allocations. A KKR spokesman could not immediately be reached for comment.
The fund's most recent annual report, for the fiscal year ended March 31, 2019, showed ¥183 billion, or 2.63% of total assets, allocated across 10 active managers of overseas equities: Allianz Global Investors; Wellington Management Japan; MFS Investment Management; State Street Global Advisors; T. Rowe Price Japan; Natixis Investment Managers (Harris Associates); Nomura Asset Management; BlackRock Japan; Mitsubishi UFJ Trust & Banking (Baillie Gifford Overseas Ltd.); and Morgan Stanley Investment Management.
With an additional ¥1.45 trillion yen, or 20.9% of the portfolio, parked in passive overseas equities strategies, the fund's total overseas equity exposure as of March 31, 2019, came to 23.50% – just shy of KKR's 25% target allocation, said the annual report.
Sanders Capital has $41.9 billion in assets under management as of March 26. A spokesman for the firm declined to provide further details.
Nomura managed a ¥10.4 billion emerging market equities allocation for KKR according to the annual report.