US - The California State Teachers' Retirement System (CalSTRS) has launched a search for managers to enhance its currency management programme.
Firms hired will have full discretion to manage their mandates with the dollar amounts set upon completion of the contracts.
The total program amount is expected to be from 15 to 20 percent of the overall currency exposure, or approximately US$4.8 to $6.4 billion.
During the process, CalPRS said it intended to award contracts as well as establish a pool of traditional overlay currency managers who will be limited to the countries currently invested in the CalSTRS portfolio.
It also intends to establish a pool of alpha-creation currency managers who will actively shift currency exposure to add value to the portfolio, and this would include expanding to other countries in consultation with investment staff.
The currency management programme was established in 1995 to protect the value of CalSTRS’ non-US assets against a strengthening U.S. dollar and has returned 7.91% since inception.
The final filing date for the request for proposal is 5 October 2007, with selections expected in spring 2008.
Mark Evans has been appointed as a director at Independent Trustee Services (ITS) to lead trustee appointments in London.
The Pension Protection Fund (PPF) is consulting on changes to the actuarial assumptions it uses in valuations in a bid to better reflect the bulk annuity market, with schemes set to move into surplus on aggregate.
Private sector defined benefit (DB) schemes were 96.3% funded on a Pension Protection Fund (PPF) compensation basis at the end of July, according to the lifeboat fund's monthly index.
Conduent has completed the sale of its actuarial and human resource consulting business to private equity investor, H.I.G. Capital.