US / UK - CalPERS, the $155bn California Public Employees Retirement System, is making an equity investment in British asset manager Pyrford International and has awarded it an active $200m international value equities mandate.
The investment in Pyrford - made with Strategic Investment Advisors - is part of the pension fund's Manager Development Program (MDP), and brings the total number of asset managers firms involved up to seven. Pyrford is the second firm that CalPERS and Strategic have invested in as part of the MDP, the first being Golden Capital Management in December last year.
CalPERS' MDP was established in 1999 and has up to $4bn committed in funding. The program seeks to achieve superior investment returns whilst providing opportunities to new and emerging money managers that may not have the long-term track record and marketing clout to compete against institutional giants.
Investments in the other five managers in the MDP were made by Progress-Putnam Lovell Advisors, a joint venture between Progress Investment Management and Putnam Lovell Capital Partners, a division of the investment bank Putnam Lovell Securities.
The other five managers are Denali Advisers, Philippe Investment Management, Shenandoah Asset Management, Broadmark Asset Management and Arrowstreet Capital.
By Geoffrey Ho
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