GLOBAL - Co-operative Insurance Society (CIS) has appointed three specialist fund managers for its £1bn overseas Life and Pensions portfolio, following a review of its investment management functions.
Goldman Sachs Asset Management (GSAM) has been selected to manage CIS’s £336m US equity portfolio, while UBS has been contracted to oversee both a £197m Asia Pacific ex Japan and £337m Europe ex UK mandate.
Additionally, Nomura Asset Management has been given a £171m mandate for Japan.
CIS investment director Paul Sharman said the firm was intent on creating a “more dynamic and responsive approach” to investment management for its five million customers.
Sharman said: “All three fund managers were able to demonstrate consistent out-performance in each of their respective sectors and provided a detailed understanding of their regions, which will ensure successful and repeatable investment processes can be maintained in the future.”
The CIS review identified that significant fund size and expertise existed within CIS’s UK Equity and Fixed Interest areas, which account for around 80% of CIS’s £22bn of funds under management.
However, the review also identified that CIS would benefit further by appointing external managers for its Overseas Equity and Investment Property Funds.
Commenting on the announcement, Suzanne Donohoe (pictured), co-head, GSAM Europe, said that the firm was “delighted” at the result of the selection process.
Donohoe said: “We believe that CIS's desire to offer best-in-class investment management will benefit its underlying investors and is part of a growing outsourcing trend among insurance companies.”
Last month, CIS announced the appointment of AXA REIM (UK) to manage its £2.5bn investment property portfolio.
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