UK - Henderson Global Investors could lose a global equities mandate worth £130m following a decision by Falkirk Council to tender the brief, worth approximately 20% of the £700m pension fund, partly due to performance issues.
Henderson currently manages a multi asset mandate worth 32.5% of the fund’s value, comprising equities, bonds and property.
Treasury manager Alastair Redpath said the tender was part of a move from a traditional multi asset approach to a specialist manager approach, however he added performance was also a contributing factor.
“Performance was one of the issues and there was discussion over corporate change in the company,” he said.
Redpath said Henderson could also lose the bond and property assets currently managed within the existing brief on the back of upcoming reviews.
“We are reviewing the equity element at the moment but we are moving everything else away from Hendersons,” he said. “We will be reviewing the bond mandate because we don’t have a specialist bond manager at the moment, so possibly that will be looked at next year.”
Henderson has been hit by a number of mandate losses in the move away from balanced, including a £190m global balanced mandate with the £880m North Yorkshire Pension Fund and a £334m brief with the Environment Agency’s active pension fund.
The deadline for tender for the global equities brief is 28 November 2005. An appointment is expected in March next year.
Hymans Robertson is assisting the fund in its search.
Henderson did not respond to requests for comment before deadline.
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