UK - Rhodia Pension Fund has rebalanced and pared down its manager roster, appointing two new undisclosed managers. Stamford Associates assisted.
Chris Ayton of Stamford Associates declined to give specific details on the new manager line-up. He said Stamford had a policy of not disclosing the names of new managers because Stamford believed that if it did, and other schemes sought to also employ them as a result, the managers would become “too big, and biggest is not best.” He said investment managers who collected too many assets under management lost their liquidity and efficiency which was not in the best interests of Stamford’s clients.
Ayton did reveal that Rhodia had chosen the multi-manager specialist route to reflect the scheme’s merger with that of Albright & Wilson. The new investment structure was put in place in October and brings the combined schemes’ value to around £500m.
A specialist benchmark has been chosen with the following asset split: UK equities (a passive core with three active managers around that); regional and overseas equities in a multi-manager OEIC in the four main regions of the world; and fixed interest securities run by three specialist managers.
Ayton said the original Albright & Wilson scheme had encompassed passive, specialist UK and overseas equities managers, a specialist bond manager and specialist property manager but had not embraced the multi-manager approach.
By Luke Clancy
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