EUROPE - Stichting Flexibel Uittreden Nutsbedrijven (Sfn), the e390m pre-retirement fund of the Dutch utility sector, has awarded Barclays Global Investors (BGI) a e175m balanced mandate.
Sfn finance director Rob Schippers said the mandate was transferred to BGI after one of the fund’s two balance managers was sacked due to poor performance.
ABP, the second largest pension fund in the world, will remain one of the balance managers while BGI will replace a large Dutch institutional manager who Schippers declined to name.
Commenting on the dismissal Schippers said: “They had disappointing historical performances and we thought their professionalism was lacking so we had no confidence in them for future performance.”
The mandate consists of global active equities, US and Euro active fixed income, active global tactical asset allocation overlay, passive overlay currency hedge and cash.
“Appointing an asset manager to run five different asset classes globally, who has a good investment track record in all five, is always going to be difficult,” Schippers said.
“BGI though was able to provide us with the total solution we were looking for – global reach with investment strength in all asset classes.”
Commenting on the mandate, head of Benelux business, Marko van Bergen (pictured), said BGI was pleased to be working with Sfn.
“Pension schemes have always traditionally been invested in equities and bonds, but now we are seeing greater interest in currency and global asset allocation strategies as schemes look to additional asset classes to diversify risk and add return to their investment portfolio,” he said.
BGI is one of the world’s largest asset managers, managing more than US$1.15 trn (e944.6bn) in assets and more than 2300 funds in 47 countries world-wide.
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