Investment Management Weekly articles from January 2006

Investment Management Weekly archives from January 2006

Is NYCRS CIO Still on Board?
January 9, 2006... Deborah Gallegos, CIO of the New York City Retirement Systems (NYCRS), may not have flown the coop. According to published reports, Gallegos had resigned from her post after a one-year stint. She joined NYCRS in January 2005 to replace Desmond...

Strategy is Key in Hedge Fund Investing.
January 9, 2006... THe year 2005 had the hedge fund industry consumed with pending regulations and increased transparency in the market. However, while some firms are balking at the idea of exposing their books, the notion has only fueled desire for...

Hedge Funds Anxious as Registration Nears.
January 9, 2006... As the deadline for the Securities and Exchange Commission's new hedge fund registration rule quickly approaches, many firms are scrambling to determine whether it might be better to take advantage of its loopholes and skirt the costly...

BGI Discusses Investment Trends for 2006.
January 9, 2006... Matthew Scanlan, managing director and head of Americas institutional business at Barclays Global Investors, contends that-just as in 2005 and years prior-the institutional trends of quantitative management; the continuous quest for alpha...

LASERS Hires for Int'l Large-Cap.
January 9, 2006... The $7 billion Louisiana State Employees' Retirement System (LASERS) has hired Acadian Asset Management to oversee a $170 million mandate. Acadian was chosen from three finalists-including LSV Asset Management and The Boston Company Asset...

Ohio STRS Initiates Consultant Search.
January 9, 2006... The $59 billion State Teachers Retirement System of Ohio (STRS), has issued an RFP for up to three investment consultants to oversee its asset allocation and real estate and alternative investment portfolios. Betsy Lynch, assistant director...

New Trustee Elected for Kansas City Plan.
January 9, 2006... The $800 million Kansas City Public School Retirement System has named a new trustee to its 12-member board. Horace Coleman, who was elected in a landslide victory on Dec. 2, was appointed to serve a three-year term, ending Dec. 31, 2009....

Survey: Large-Cap Set for Bull Market.
January 9, 2006... It may be a banner year for large-cap growth stocks if the findings of Russell Investment Group's Investment Manager Outlook come to fruition. According to the quarterly survey, eight out of 10 investment managers polled are bullish over...

The Physics of Fluids.
January 9, 2006... Traditional cyclical expectations periodically were turned on their heads in the fixed-income markets during 2005. When the year began, for example, who would have guessed that the Fed would raise rates several hundred basis points on the short...

2005 At A Glance.
January 9, 2006... Jan. 31 Mike Napoli, Jr., senior managing director at Wilshire Associates and head of the firm's Funds Management Division, along with Thomas Kuntz, and Daniel Johnedis, managing director and VP, respectively, of the Division, were all released...

People 2005.
January 9, 2006... New digs Frank Russell alum Paul Greenwood launched his own consulting initiative, Greenwood Investment Consulting. He was with Frank Russell for 15 years, departing as the director of U.S. equity. Ben Utt joined INVESCO North America...

Quotables.
January 9, 2006... I like to say that just like with life, you have to be prepared to take some pain. We get in a little early, but you have to suffer awhile before you get paid." -Ming Shao, senior portfolio manager, DuPont Capital Management, on his firm...

CalPERS to Increase Int'l PE.
January 16, 2006... It looks like the California Public Employees' Retirement System will be taking advantage of the burgeoning economies outside of the U.S. Published reports indicate that the $200 billion fund has announced plans to invest about $1 billion...

LACERA to Adjust Manager Roster: Plots Several Searches.
January 16, 2006... The $33 billion Los Angeles County Employee's Retirement Association (LACERA) is gearing up to make several changes to its manager roster this year, said Juan Almaguer, an investment officer at the fund. To get the ball rolling, the fund...

Looming Bankruptcies Intensify Pension Debate.
January 16, 2006... Last year, the Pension Benefit Guaranty Corporation (PBGC) took on several high profile airline defaults, including United Airlines and US Airways pensions. These terminations resulted in $9.7 billion in claims on the pension insurer. United's...

Merrill Makes Predictions for 2006.
January 16, 2006... Pension reforms will continue to be a key market shaper this year, said experts at Merrill Lynch Investment Management (MLIM) at a Jan. 10 press briefing. During 2006, it is expected that pension reform will finally come into play. This,...

Fitchburg Launches Search for Int'l Equity.
January 16, 2006... The $80 million Fitchburg Retirement Board has issued an RFP for managers to oversee an international equity portfolio. Diane Vieweg, administrator at the Massachusetts fund, referred calls to Rafik Ghazarian, the plan's consultant at Segal...

Swampscott Hunts for More Real Estate.
January 16, 2006... The $30 million Swampscott Retirement System is looking to add a real estate manager to oversee a $1.4 million mandate, said Richard DiPesa, administrator to the fund. "We're looking to diversify," he explained. The RFP issued by the...

NYS Foundation Seeks Manager.
January 16, 2006... The $3 million Hudson Valley Community College Foundation has issued an RFP for an investment manager to oversee the fund's investments. "We have had the same firm since our inception," said Sarah Boggess, president of the Troy, N.Y....

San Bernardino Switches Managers.
January 16, 2006... The board of the $5 billion San Bernardino County Employees' Retirement Association moved to terminate Ashmore Investment Management-the plan's emerging markets debt manager-and hired Bridgewater Associates to oversee the $93 million account....

West Va. Sparks Search for Executive.
January 16, 2006... The West Virginia Consolidated Public Retirement Board has initiated a search for a new executive director, a move which would replace Joseph Jankowski. Last year, administrators at the State Department of Administration alleged that...

Ill. Files Suit Against Trustee, Counsel.
January 16, 2006... In a move to kick start the New Year, the Teachers' Retirement System of the State of Illinois has filed a civil suit against several of the individuals involved in a scandal which rocked the state last year. Jon Bauman executive director...

CalSTRS Re-appoints Board Member.
January 16, 2006... California Governor Arnold Schwarzenegger has re-appointed Roger Kozberg to the California State Teachers' Retirement System's board. Koberg, a risk management consultant and former senior VP of Marsh Risk & Insurance Services, was first...

Religious SRIs Win 10 Year Battle.
January 16, 2006... The Tri-State Coalition for Responsible Investing (Tri-CRI) has ended its battle against General Electric (GE) to reveal the amount it spent to delay the clean up of toxic spills in New York. Tri-CRI represents more than 35 major Roman...

Private Equity Party Rolls On: Larger Funds, Bigger Buyouts and More Robust Returns on Tap for 2006.
January 16, 2006... The party is by no means over in private equity. Good as things were in 2005, this year may be even better, with bigger funds, bigger deals, more investment banking fees, and returns at least as fat as last year, observers predict. "More...

Odds & Ends.
January 16, 2006... * The Securities and Exchange Commission announced that Susan Wyderko would take over as acting director of the investment management division. Wyderko has 20 years of experience with the SEC and has held positions such as the as director of...

Lawsuit Filed Against Money Manager.
January 23, 2006... Former Philadelphia mortgage lender, American Business Financial Services (ABFS), has issued a lawsuit against Boston Partners Asset Management, according to published reports. ABFS trustee George Miller is alleging that Boston Partners...

O.C. to Hunt for Emerging Markets Manager.
January 23, 2006... As first reported on IMW's Web site, imweekly.com, the investment staff of the $5 billion Orange County Employees' Retirement System has recommended that the plan initiate a search for an emerging equity markets manager to oversee approximately...

Ala. PACT Launches Large-Cap Search.
January 23, 2006... The $676 million Alabama Pre-Paid Affordable College Tuition (PACT) Trust Fund has issued an RFP for a large-cap value manager to oversee $90 million. Full details of the search could not be obtained, as calls to both Anthony Leigh, deputy...

Methodist Church Board to Open DB Fund.
January 23, 2006... In an environment where many pension funds are mulling the benefits of maintaining a defined benefit plan versus a defined contribution platform, the $14.5 billion General Board of Pensions and Health Benefits of the United Methodist Church...

Massachusetts Plan to Implement High Yield.
January 23, 2006... The $126 million Town of Arlington Employees' Retirement System has issued an RFP for a high yield fixed-income manager to oversee a mandate of approximately $6 million. "Our consultant came in and decided that with the risk factor it was...

Sterling Heights 911 Ponders Int'l Equity.
January 23, 2006... The $179.2 million Sterling Heights Police & Fire Pension Board is considering adding another international equity manager to its roster. Tim Brice, the plan's consultant from Merrill Lynch Consulting, said that INVESCO serves as the...

Maryland CIO to Leave Post.
January 23, 2006... Steven Huber, CIO for the $34 billion State Retirement and Pension System of Maryland announced during the plan's Jan. 13 investment committee meeting, that he would resign from his position with the system to pursue other career opportunities....

Holyoke Hunts for Int'l Equity, Real Estate.
January 23, 2006... The $160 million Holyoke Retirement Board has launched dual searches for an international equity manager and a real estate manager to manage $12 million and $5 million, respectively. Full details of the searches-including why the RFPs were...

Dallas Guns & Hoses Picks New Consultant.
January 23, 2006... The $2.5 billion Dallas Police & Fire Pension System has selected New England Pension Consultants (NEPC) to serve as its new general investment consultant, beginning Feb. 1. The decision was made at the board's Jan. 12 meeting, after being...

Two Events Now Likely To Buoy Auto Industry: Either One-The Sale of GMAC or a Delphi Bailout-Could Trigger a Bond/M&A Rally.
January 23, 2006... Auto industry watchers are increasingly optimistic about two important events that could give the industry a near-term boost: a partial sale by General Motors of its financing division, General Motors Acceptance Corp., and a multibillion-dollar...

Report: 2005 Outstanding Year For Private Equity.
January 23, 2006... Investment in private equity topped $111.4 billion in 2005 making it a banner year for both buyout and private equity funds, according to data released on Jan. 17 by industry researcher Thomson Venture Economics and the National Venture Capital...

Money Manager Acquires Hedge Firm Shop.
January 23, 2006... Victory Capital Management has added another notch to its belt with the recent acquisition of hedge fund-of-funds firm Austin Capital Management. Ron Petrie, spokesman for the Cleveland, Ohio-based Victory, explained that the firm acquired...

Daedalus Clients Reap Rewards of Apple Earnings.
January 23, 2006... Stephen Coleman, CIO and founder of Daedalus Capital Management hit the nail on the head when he announced his bullishness on Apple in 2004 (See IMW, 4/26/04). On Jan. 18, the company announced that it had achieved its highest revenue and...

Transition Management Sees Growth.
January 23, 2006... In the past few years, transition management has grown as a field and is being taken more seriously than ever by plan sponsors who are concerned about minimizing costs and risk. Most recently, the $39.2 billion Massachusetts Pension...

Odds & Ends.
January 23, 2006... *New York Life Investment Management (NYLIM) has appointed Ronald Bucci as regional director of its Taft-Hartley retirement plan and investment sales channel, where he will represent both NYLIM and its affiliate McMorgan & Company. Bucci has...

Illinois Could Gain Deputy Treasurer.
January 30, 2006... The Illinois State Board of Investment (ISBI) could gain more financial expertise on its panel if things go well for the Democratic candidate vying for the state's treasurer post. During a news conference last week, Paul Mangieri announced...

ACERA Increases U.S. Equity Allocation: Manager Searches Might Be Next.
January 30, 2006... The $3.9 billion Alameda County Employees' Retirement Association (ACERA) may soon be changing its stable of U.S. equity managers, following the adoption of a new asset allocation mix. During its Jan. 11 board meeting, the fund-at the...

CalPERS Scouts Growth Managers, Consultants.
January 30, 2006... The $200 billion California Public Employees' Retirement System (CalPERS) has issued RFPs for domestic growth equity managers and investment consultants. CalPERS spokesman Brad Pacheco, said that the manager RFP was initiated to refresh...

Ann Arbor to Search for Mid-Cap Value.
January 30, 2006... The $432 million City of Ann Arbor Employees' Retirement System has begun a search for a mid-cap value manager, a move which could potentially replace Oppenheimer Capital, the plan's incumbent manager. Full details of the search-including...

Big Apple Teachers Expels Bank of Ireland.
January 30, 2006... The board of trustees of the $36.5 billion New York City Teachers' Retirement System terminated Bank of Ireland Asset Management from an international equity account during Jan. 19 meeting. Full details of the termination could not be...

Connecticut Plan to Search for Consultant.
January 30, 2006... The City of Bridgeport has initiated an RFQ/RFP for an investment consultant for its $250 million Investment Trust Plan A, which services the city's public safety employees. Michael Lupkas, director of finance for the city, said that the...

Michigan Muni Drops Essex Investment.
January 30, 2006... The $94 million Southfield General Employees' Retirement System has terminated Essex Investment Management Company from a large-cap growth account of an undetermined size. Full details of the termination could not be determined, as calls...

Ivy League CIO to Step Down.
January 30, 2006... Don Fehrs, CIO of Cornell University's $4 billion endowment fund has resigned, said Simeon Moss, spokesman the University. Fehrs joined the Cornell investment staff in 1999 and has held the CIO post since 2003. While overseeing the...

OPERS Eyes New Executive Director.
January 30, 2006... The $68.6 billion Ohio Public Employees' Retirement System (OPERS) has embarked on a search for a new executive director, following the news of incumbent Lori Fiori Hacking's resignation. Hacking, who has been with the plan since 2000, will...

Wanted: Investment Pro at DPSRS.
January 30, 2006... The $2.6 billion Denver Public Schools Retirement System (DPSRS) is on the hunt for a new investment officer. Al Thomas, CIO with DPSRS, explained that the position is directly related to his impending retirement, which will occur during...

Ivy Asset Mgmt. Shuffles Execs.
January 30, 2006... Ivy Asset Management, a division of The Bank of New York, has appointed Sean Simon and Michael Singer as co-presidents and named Lawrence Simon and Howard Wohl, the firm's co-founders, vice chairmen. Meanwhile, Ivy has also promoted Adam...

N.H. Senate Bill Pushes for Board Restructuring.
January 30, 2006... The New Hampshire Senate is considering a bill that could have a profound effect on the $4.7 billion New Hampshire Retirement System (NHRS). In addition to other measures, the bill, SB 385-FN, would reportedly alter the representation on...

UCal Board of Regents Mulls Sudan Divestment.
January 30, 2006... The University of California Board of Regents (UCBR)-which oversees the $64 billion in retirement and endowment funds for the University of California-are voicing concerns about possible investment ties to Sudan by their foreign investment fund...

Northern Trust: Institutional Investors Gained in 05.
January 30, 2006... Investments in international equity and private equity proved to be the best gainers for institutional investors last year, according to data compiled by The Northern Trust Company. "The findings showed for the year that sponsors who made...

Carron: More Fed Hikes Imminent.
January 30, 2006... When it comes to asset management firms and their portfolio strategists, most of which are centered around the urban centers like New York, Boston or San Francisco, Dwight Asset Management is really out there. From her office in the firm's...

Odds & Ends.
January 30, 2006... *Conestoga Capital Advisors has appointed Mark Clewett as its new director of institutional sales and client services. Clewett will be responsible for growing new business and maintaining relationships with current customers. Clewett has over...

Correction.(Correction Notice)
January 30, 2006... In a story titled "San Bernardino Switches Managers" (See IMW, 1/16/06), it was reported that the San Bernardino County Employees' Retirement Association had terminated Ashmore Investment Management and hired Bridgewater Associates. Actually...