Berkshire tenders for seven mandates in diversification bid

The scheme is looking for a managers to run a £105m absolute return portfolio, targeting returns of the London interbank offered rate plus between three and six percentage points; a £60m segregated high yield mandate; and a £70m global indirect property portfolio.

It is also looking to invest in one or more active currency funds with investments of up to £50m and is looking for a manager for a well diversified commodities portfolio with an allocation of up to £150m.

In addition to this, it is looking for managers to run a £90m segregated infrastructure mandate and a £70m emerging market debt fund, which will focus on both local currency debt and external market debt and be hedged back to sterling.

Royal County of Berkshire Pension Fund pension fund manager Nick Greenwood said: "Following the triennial valuations and an asset modelling study, the decision was taken to diversify our sources of return.

"At the moment we are in the process of seeing what is available to us in the market, and acting accordingly."

He added that he expected it to take around nine months for the successful candidates to be in place and explained that these could either be existing managers with the fund or new.

Tenders for all mandates must be received by August 8, 2008.