Core-Plus
The pension plan hired the firm based on its favorable returns, low fees, diversification and low correlation to existing active core-plus fixed-income manager Loomis, Sayles & Company.
Pension has narrowed a search for a complementary manager to three finalists.
The plan is seeking a firm to fill its maiden 8.5% target to core-plus fixed-income.
The managers will complement existing core-plus manager TCW.
The plan expects to issue an RFP this year seeking a core-plus fixed-income manager to handle between $100 million and $150 million.
The plan is seeking active core and core-plus bond managers to handle roughly $125 million each.
The plan added two core-plus fixed-income managers to the portfolio and made 11 alternatives commitments in the first quarter.
The selection will conclude a core-plus fixed-income search for a replacement manager.
The plan approved a core-plus fixed-income manager search and terminated its hedge fund-of-funds mandate as the result of a new asset allocation policy.
The plan will consider active core and core-plus fixed-income manager hires in May as a result of a new asset allocation that also eliminated its 2.5% risk parity target yesterday.