UK - Manager of manager specialist SEI has won a £40m global equities portfolio from Millennium Chemicals.
The mandate for the UK arm of the US-based global chemical company represents 70% of the total pension fund.
It is the sixth mandate win secured by the UK division of SEI and it takes its total new business wins to £200m since launch.
Millennium Chemicals human resources director and chairman of trustees, Dave Evans, said: “We considered all the various options available for the management of our UK pension plan and found the concept of outsourcing the selection and monitoring of fund managers attractive.
“Having decided to go down the manager-of-managers route, we held a beauty parade from the major players in the UK. We were impressed by SEI’s approach, their process and in particular the depth of their research.”
SEI was chosen ahead of rival manager-of-manager Frank Russell and Northern Trust.
SEI institutional sales director Kate Finch said: “A major beauty parade consisting solely of manager-of-managers shows that this category is being taken seriously by pension fund trustees who recognise that it can offer a solution to many of the concerns raised by Myners and the Unilever v MLIM case.
“It is a great achievement for SEI to have won this mandate against such strong competition from established players in the market.”
The manager-of-manager concept encompasses manager selection, asset allocation, portfolio construction, manager hiring and monitoring.
Towers Perrin advised Millennium Chemicals.
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