UK - Powys County Council is to tender new mandates for its £162m pension fund once a review of the fund is finished, according to John McNeil, assistant county treasurer.
McNeil said that once Watson Wyatt has completed its review, the fund will put new mandates out to tender. The fund is looking for two new managers following the termination of Baring Asset Management (BAM) and Lombard Odier.
Watson Wyatt is set to finish its review of the fund in early March he said, and that the searches would begin during the second quarter. Appointments will probably take place by the start of the fourth quarter.
McNeil added that the fund is not looking to make a straight swap and hire new managers for BAM and Lombard Odier's mandates. The review will determine what type of new mandates will be tendered, he said.
BAM used to run a £25m overseas equities portfolio for the fund. McNeil said that it was fired as it had failed to meet the required benchmark which was +2% of the local government overseas equities benchmark. Lombard Odier held a £25m active mandate and was dropped last summer, he added.
Barclays Global Investors (BGI) is temporarily managing the whole fund until new asset managers are appointed. Prior to the termination of BAM and Lombard Odier, BGI ran 70% of the fund on a passive multi-asset basis.
By Geoffrey Ho
The Co-operative Group's Somerfield Pension Scheme has completed a buy-in with Pension Insurance Corporation (PIC), insuring the benefits of its pensioner members.
Caroline Rookes CBE and Michele Hirons-Wood have joined The Pension Superfund's board of trustees to focus on maintaining governance standards and safeguarding member benefits.
The first specialist independent firm advising pension schemes on bulk annuities or moving to a consolidator has been set up with ambitions to shake up the market.