Investment Management Weekly articles from May 2007

Investment Management Weekly archives from May 2007

Pension Health Is Looking Good.
May 7, 2007... The funded status of the average U.S. pension system improved last month according to Mellon Financial's pension liability indexes. The average plan's funded status improved by 1.8 percentage points in April, with the value of assets...

Beantown Rolls Out Fund-of-Funds Search.
May 7, 2007... The $4 billion Boston Retirement System has launched a search for hedge fund-of-funds managers, according to an RFP issued by the plan. The defined benefit plan is looking to place up to $280 million with new managers in the asset class....

Fairfax Considers Allocation Changes.
May 7, 2007... The $1.8 billion Educational Employees' Supplementary Retirement System of Fairfax County (ERFC) could soon make changes to its asset allocation that would result in manager searches, if it follows the advice of consultant New England Pension...

Oregon PERS Could Change Asset Mix.
May 7, 2007... The Orgon Investment Council has received the results of the $62 billion Oregon Public Employees' Retirement System's first asset liability study performed since 1999, according to published reports. The study was conducted by consultant...

CalSTRS Looks for Developing Managers.
May 7, 2007... The $162.2 billion California State Teachers' Retirement System (CalSTRS) is searching for developing managers to oversee portfolios in fixed-income and U.S. equities. The RFPs state that the board defines "developing managers" as those...

Cambridge Seeks PE Managers.
May 7, 2007... The $710 million Cambridge Retirement System has issued an RFP for a private equity investment manager to oversee approximately $10 million in a fund-of-funds account. Further details regarding the search could not be ascertained. Ellen...

Pennsylvania Plan Considers Managers.
May 7, 2007... The $52 billion Pennsylvania Public School Employees' Retirement System (PSERS) was scheduled to discuss numerous potential investments last week, confirmed Evelyn Tatkovski, spokeswoman for the plan, prior to the May 3 meeting. The...

LA 911 Equity Search Moves Forward.
May 7, 2007... The $14.8 billion Los Angeles Fire & Police Pension System (LAFPP) is making strides in its search for private equity advisors, according to the agenda from the board's May 3 meeting. Aldus Equity Partners, Centinela Capital Partners,...

San Joaquin Makes Real Estate Hires.
May 7, 2007... The $2.1 billion San Joaquin County Employees' Retirement Association (SJCERA) approved real estate investments of $30 million each in Miller Global Fund VI-an opportunistic fund-and Greenfield Acquisition Partners Fund V-a value-added fund,...

UTIMCO Selects Investment Head.
May 7, 2007... The University of Texas Investment Management Company (UTIMCO) has hired a new CIO to replace Bob Boldt, the University of Texas announced last week. UTIMCO oversees roughly $21 billion in investments for the endowment fund. Bruce...

Indiana PERF Gets New Director.
May 7, 2007... As first reported on imweekly.com (4/27/07), the $16.4 billion Indiana Public Employees' Retirement Fund (PERF) has approved the hiring of Terren Magid, the plan's current deputy director and chief operating officer, as its new executive...

Odds & Ends.
May 7, 2007... *The Boston Company has launched a new 130/30 strategy with $40 million in client funding, the firm announced last week. The goal of the strategy is to outperform the manager's traditional long-only U.S. large-cap core product. Sean Fitzgibbon...

Arkansas to Jump on the Divestment Bandwagon?
May 7, 2007... The $10 billion Arkansas Teachers' Retirement System (ATRS) may be the next public pension fund to divest its holdings in companies with ties to Sudan. The board of trustees will discuss divesting roughly $20 million from such companies at...

Oklahoma Teachers' Bill Approved.
May 7, 2007... A bill that would provide a much needed solution to the $7.8 billion Teachers' Retirement System of Oklahoma (TRS) unfunded crisis is nearing the homestretch. Last week, SB 1092 reportedly received a nod from the Oklahoma Senate. The bill...

Baring Asset Management's Lees Believes in Reality-Based Investing.
May 7, 2007... Christopher Lees is a realist. "You can either say, I'll manage money the way the world should be, or I'll manage it according to reality," said the head of global sector teams at Baring Asset Management. "I think managing according to...

Canada Less Worried About Pension Crisis.
May 14, 2007... According to a recent Watson Wyatt Worldwide survey of Canadian CFOs and human resources VPs, fears regarding the pension funding crisis in Canada have lessened. While the findings indicate that two-thirds of those surveyed still believe...

Purdue Moves Ahead with Allocation Changes.
May 14, 2007... The $1.5 billion Purdue University endowment and foundation will continue to ramp up its alternative and real estate investments, according to documents posted on the Indiana plan's Web site. "In 2007, commitments in the $7.5 to $10 million...

Connecticut To Hunt for CIO, Deputy CIO.
May 14, 2007... The $24 billion Connecticut Retirement Plans and Trust Funds (CRPTF) could soon hire a new CIO, in addition to a deputy CIO for the CRPTF, according to a document issued by the office of Connecticut State Treasurer Denise Nappier. The...

Sales Pro Starts Third-Party Marketing Firm.
May 14, 2007... Donald Steinbrugge, former head of institutional sales at Merrill Lynch Investment Managers (MLIM), has launched a third-party marketing firm geared toward hedge fund managers, he told IMW last week. The Richmond Va.-based Age Croft...

Pittsfield R.S. Hunts For Managers.
May 14, 2007... The roughly $92 million Pittsfield Retirement System is seeking managers to oversee portfolios in domestic equity and real estate, according to RFPs issued by the fund. Pittsfield is looking for a large-cap growth and value manager to...

Taunton Eyes Large-Cap Firms.
May 14, 2007... The $171 million Taunton Retirement System has launched a search for a large-cap core equity manager to oversee an allocation of approximately $45 million, in either a commingled or separate account. According to the RFP, interested firms...

Essex Searches for Core-Plus Bonds.
May 14, 2007... The $238 million Essex Regional Retirement System has issued an RFP for a manager to oversee an approximately $50 million mandate in core or core-plus fixed-income. Timothy Bassett, the Massachusetts plan's administrator, did not return...

Hampden County Issues Equity RFPs.
May 14, 2007... The $200 million Hampden County Regional Retirement System has issued RFPs for large-cap managers to oversee growth and value mandates of $35 million each for the plan. Julianne Bartley, the administrator of the Massachusetts plan, said...

Massachusetts Plan Launches Searches.
May 14, 2007... The $82.6 million Salem Retirement System rolled out four searches last week, according to RFPs issued by the Massachusetts plan. The board is looking for a private equity manager to oversee a $3 million fund-of-funds investment, a...

Dallas Guns & Hoses Selects Finalists.
May 14, 2007... The $2.6 billion Dallas Police & Fire Pension System (DPFP) is in the final stages of selecting managers to oversee mandates in global equity and global asset allocation, according to the agenda for its meeting last Thursday. Vying for the...

NM PERA Discusses New Investments.
May 14, 2007... The $11.5 billion New Mexico Public Employees' Retirement Association (NM PERA) was slated to discuss several new alternative investments at a May 8 investment committee meeting. According to the agenda, hedge fund investments of $32...

Texas Teachers Consider Alternatives.
May 14, 2007... The $109 billion Teacher Retirement System of Texas (TRS) may be adding managers to its real estate and absolute return rosters, according to the agenda for a May 11 meeting. The board was expected to consider a real estate investment in...

California Teachers' Select PCA.
May 14, 2007... The California State Teachers' Retirement System (CalSTRS) has selected Pension Consulting Alliance (PCA) to replace McKinsey & Co. as its new alternative investment consultant, confirmed Sherry Reser, spokeswoman at the $163.5 billion plan....

City of Baltimore Hires Equity Firms.
May 14, 2007... The $1.2 billion City of Baltimore Employees' Retirement System has made several new additions to its equity manager roster, confirmed Roselyn Spencer, the plan's executive director. Spencer said that Chicago Equity Partners and Turner...

Odds & Ends.
May 14, 2007... *According to a Tabb Group report, 70% of traditional, long-only money managers with more than $50 billion in assets under management, are developing alternative strategies that use shorting, such as 120/20 and 130/30 strategies. The report...

Boston University Hires CIO.
May 14, 2007... Boston University has hired Pamela Peedin to assume the role of its first ever CIO, the $1 billion endowment fund announced last week. She begins her duties today. At Boston University, she will take over the responsibilities previously...

Hedge Funds Headed for M&As: Institutional Investors Looking for Large, Established Firms.
May 14, 2007... The hedge fund industry will consolidate through mergers and acquisitions, as the funds continue to proliferate and gain popularity among institutional investors, experts predict. "This is absolutely going to happen," said Joel Press, a...

BlackRock Alternatives CIO Exits.
May 21, 2007... Fabio Savoldelli, after 10 years with Merrill Lynch Investment Managers-which was acquired by BlackRock last year-is leaving the merged firm where he was CIO of alternatives. Savoldelli has joined Optima Fund Management, a fund-of-hedge...

Sunshine State to Slash Allocations.
May 21, 2007... The $135 billion Florida State Board of Administration (FSBA) has adopted a plan to reduce its equity and real estate investments by $12 million and increase the amount of its fixed-income portfolio. The board makes investment decisions on...

Connecticut Plan to Seek Consultant.
May 21, 2007... The $242 million City of Meriden Municipal Pension Board is gearing up to issue an RFP for an investment consultant, confirmed Robert Tait, treasurer and finance director for the Connecticut plan. Tait also confirmed that the search could...

SEI: Nonprofits Need Inflation Protection.
May 21, 2007... Although viewed as a priority, many nonprofit organizations lack sufficient inflation protection strategies in their asset allocations, according to the findings of a recent SEI poll. The poll-which surveyed 51 nonprofit organizations with...

CalPERS Expands Development Program.
May 21, 2007... The $245 billion California Public Employees' Retirement System (CalPERS) has broadened the investment range of its Manager Development Program II (MDP II) to include several new strategies, confirmed Clark McKinley, spokesman for the fund. ...

Pa. SERS Could Replace Rocaton.
May 21, 2007... Pennsylvania's $32 billion State Employees' Retirement System has launched a search process for a firm to provide non-discretionary general investment consulting services. The plan's general consultant will also be expected to work...

Norfolk Launches Bond, Equity Searches.
May 21, 2007... The $580 million Norfolk County Retirement Board rolled out two searches last week, according to RFPs issued by the Massachusetts plan. The board is looking to place up to 8% of its total assets with a 130/30 equity manager. Proposals will...

San Fran Hires for Core-Plus Bonds.
May 21, 2007... The $15 billion San Francisco City & County Employees' Retirement System (SFERS) has selected four managers to oversee core-plus fixed income accounts for the plan, said David Kushner, deputy director of investments with SFERS. The board...

San Bernardino Alts. Commitments.
May 21, 2007... The San Bernardino County Employees' Retirement Association (SBCERA) approved several investments at its meeting last week, confirmed Don Pierce, investment officer at the $5.7 billion plan. The board gave the go-ahead for commitments of...

LAMPERS Interviews Int'l Equity Finalists.
May 21, 2007... The Louisiana Municipal Police Employees' Retirement System (LAMPERS) interviewed finalists in its search for an international equity manager at a May 16 investment committee meeting. According to the agenda, KBC Asset Management,...

Oklahoma Police Interview RE Finalists.
May 21, 2007... The $1.6 billion Oklahoma Police Pension and Retirement System (OPPRS) interviewed three core real estate managers at its May 16 board meeting, according to the agenda. The board heard presentations from Prudential Real Estate Investors...

Orange County CEO Joins SWIB.
May 21, 2007... Keith Bozarth, CEO of the $6.5 billion Orange County Employees' Retirement System (OCERS), has been named executive director at the $93 billion State of Wisconsin Investment Board (SWIB). As first reported on imweekly.com (5/14/07), Bozarth...

N.J. Considers Manager Hires.
May 21, 2007... The $79.4 billion New Jersey Division of Investment (DOI) considered new private equity and hedge fund investments at its May 17 meeting, according to the agenda. The DOI was scheduled to discuss commitments to Vista Equity Partners' Fund...

Odds & Ends.
May 21, 2007... The California Public Employees' Retirement System is against lawmaker's suggestions that the plan should sell off investments in Iran. According to CalPERS, the cost of divestment could exceed $8 billion. *Cerberus Capital Management,...

Kansas Passes Sudan Divestment Legislation.
May 21, 2007... Kansas Governor Kathleen Sebelius has passed a law requiring the $12.5 billion Kansas Public Employees' Retirement System (KPERS) to divest its holdings in companies that do business in Sudan. Reportedly, the fund has approximately $38...

IMW Search Data Goes Live.
May 28, 2007... To make IMW's search and hire information more useful, we've launched the IMW Manager Search Database, a searchable, online database that lets you search for leads, research plan sponsors and look at activity within various asset classes at the...

Kern County Eyes Real Return Investments.
May 28, 2007... The $2 billion Kern County Employees' Retirement Association is looking to potentially place a portion of its assets into real return investment strategies, according to the California plan's Web site. An RFI issued by consultant Wilshire...

Washington State Looking At Private Placements: Board Seeking Consultants to Assist.
May 28, 2007... The $79 billion Washington State Board of Investment (WSIB) is looking to refresh its pool of investment consultants with firms to assist the plan with private placement investments. The fund has issued an RFQQ for firms to provide advisory...

INVESCO On Watch at City of Ann Arbor: Plan Could Invest in Alternatives.
May 28, 2007... The City of Ann Arbor Employees' Retirement System has placed INVESCO on watch for its stable value account at the Michigan plan, IMW has learned. The size of the mandate is unclear as repeated calls to Willie Powell, the $445.5 million...

U. of Arizona to Invest In Infrastructure.
May 28, 2007... The Arizona Board of Regents is seeking an active infrastructure investment manager to oversee approximately 5%-or $10.25 million-of the University of Arizona's $205 million investment pool. According to the RFP, this will be the...

San Antonio 911 May Rebalance Portfolio.
May 28, 2007... The approximately $2 billion San Antonio Fire & Police Pension Fund was scheduled to discuss shifts in its investment portfolio at a May 22 meeting, according to the agenda. The agenda noted that the board was scheduled to consider moving...

Marlborough Looks to Add Int'l Growth.
May 28, 2007... The $90 million City of Marlborough Contributory Retirement System has initiated a search for an international growth equity manager to oversee an account of $6 million to $10 million. Margaret Shea, the plan's administrator, explained that...

Two On Hot Seat At Attleboro.
May 28, 2007... The $96 million Attleboro Retirement System has launched a search for an international equity manager, a move which could potentially unseat incumbents INVESCO and State Street Global Advisors (SSgA), confirmed Leslie Ring, the plan's...

Mass. Fund Hunts for Core Manager.
May 28, 2007... The $96 million Andover Retirement Board is looking to hire an equity manager to oversee a $10 million large-cap core mandate for the plan. Kevin Leonard, the plan's consultant with Segal Advisors, explained that the search is being...

Odds & Ends.
May 28, 2007... *The $80 billion Ohio Public Employees' Retirement System (OPERS) has selected Mercer Investment Consulting as its new general investment consultant. Mercer replaces Ennis Knupp + Associates, who served as OPERS' general investment consultant...

Finalists Selected in Orange County.
May 28, 2007... The $6.5 billion Orange County Employees' Retirement System (OCERS) has whittled down its searches for timber and global real estate managers, said Robert Kinsler, spokesman for the plan. In the search for a firm to oversee an approximately...

Waltham Launches Large-Cap Search.
May 28, 2007... The $156 million Waltham Retirement Board has issued an RFP for a large-cap core equity manager to oversee a $15 million mandate, confirmed Joseph Juppe, the plan's administrator. He explained that the search comes as a result of a...

Los Angeles County Adds Commodities.
May 28, 2007... The $35 billion Los Angeles County Employees' Retirement Association (LACERA) approved two managers for a new commodities investment program and renewed contracts for its fixed-income and private equity managers last week. Lehman Brothers...

Iowa PERS Appoints New CIO.
May 28, 2007... The search for an investment head is over at the $23 billion Iowa Public Employees' Retirement System (IPERS) as the plan's CEO Donna Mueller recently appointed Karl Koch to the position. Koch was previously the head of IPERS' $1.8 billion...

Intrepid Capital Uses Buy-Low Strategy.
May 28, 2007... Mark Travis, CEO and president of Intrepid Capital Management has a problem. The companies his fund has bought over the years have done so well that they are being scooped up by other firms. As a result, he's loaded with cash, but his buy-low...