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1. JANUARY 28, 2008 Eyes Stakes In GPs
VOL. XXXIII, NO. 2
NEW JERSEY SEEKS EQUITY
Kansas Boosts Real Assets MANAGERS FOR $5-6B
The Kansas Public Employees The New Jersey Division of Investment plans to issue a
Retirement System has increased its
real return allocation to 14% from 10%. $2 billion small-cap RFQ this month and another in
See story, page 6 March for $3-4 billion in international equities. The $81
billion fund is also considering direct infrastructure deals, co-
In The News
investments and funds to reach its target 2% infrastructure
Sawgrass Expands Client Service 2 (continued on page 19)
Watson Wyatt Adds Consultant 2
Nuveen To Raise Profile
Searches
Orange County Seeks Real Estate 2 ANSON THROTTLES UP PRODUCT
Denver Ponders Portable Alpha 4 DEVELOPMENT, MARKETING
Missouri Eyes Int’l Real Estate 4 Mark Anson intends to use his high profile and experience at the helm of
Chicago Water Studies Alts 4 the California Public Employees Retirement System and BT Pension
Nashville Preps 130/30 RFP 6 Scheme to attract pension fund clients for his new firm, Nuveen
Investments. He is planning to launch investment strategies, hire sales
Marketing Strategies Mark Anson professionals and spend more time with clients and prospects.
Green Manager Offers New Fund 8
(continued on page 20)
People
Apollo Grabs Pequot Marketer 8
Hedge Funds, Emerging Managers On Radar
SSgA U.S. Bond Chief Departs 9 ARKANSAS TEACHERS AIM TO TAME INFLATION
Callan Loses Two Consultants 9 The Arkansas Teachers Retirement System has carved out 5-6% allocation to inflation-
Philly Picks Investment Officer 9 hedging strategies, including timber, commodities, infrastructure and Treasury inflation-
protected securities. Executive Director Paul Doane expects to start seeking managers in the
Departments
first half of this year. So far, the $11.5 billion plan has less than 2% of its assets in timber and
Plan Sponsor Profile 10 has heard educational presentations on the other asset classes at recent board meetings. ATRS
Ask The Advisor 11 will also hear presentations on hedge funds from Ennis Knupp + Associates and managers at
News Recap 12 (continued on page 19)
Search & Hire Directory 13-18
COPYRIGHT NOTICE: No part of this publication may
MARYLAND INCREASES ALTS, GLOBAL EQUITY
be copied, photocopied or duplicated in any form or by The State Retirement & Pension System of Maryland has increased its target allocations to
any means without Institutional Investor’s prior written
consent. Copying of this publication is in violation of the
alternatives, international and global equity. The fund raised its real return and private
Federal Copyright Law (17 USC 101 et seq.). Violators equity targets to 5% each from 2%, real estate to 10% from 5%, global equity to 15% from
may be subject to criminal penalties as well as liability
for substantial monetary damages, including statutory 10% and international equity to 18% from 15%, at a Jan. 15 board meeting. All moves are
damages up to $100,000 per infringement, costs and being funded by reducing domestic equity to 30% from 40% and fixed income to 17%
attorney’s fees. Copyright 2008 Institutional Investor,
Inc. All rights reserved. ISSN# 720-90190 from 28%, said John Greenberg, chief investment strategist. Following an asset study, Ennis
For information regarding subscription rates Knupp + Associates recommended these changes to help achieve the fund’s 7.75% target
and electronic licenses, please contact Dan Lalor at
(212) 224-3045. (continued on page 19)
Remember to check www.moneymanagementletter.com during the week for breaking news and updates.

2. Money Management Letter www.moneymanagementletter.com January 28, 2008
Watson Wyatt Adds Consultant
Emily Barger has joined Watson Wyatt Worldwide in Atlanta
as an investment consultant, working with DB and DC
EDITORIAL PUBLISHING
corporate retirement plans. She previously worked at Hewitt TOM LAMONT BRISTOL VOSS
Publisher
Associates alongside Weston Tompkins, now leader of Editor
(212) 224-3628
STEVE MURRAY
investment consulting for Watson Wyatt’s Atlanta office. Deputy Editor ARCHANA MARWAHA
Associate Marketing Manager
Barger left Hewitt to study for her MBA at The University of DOUG CUBBERLEY (212) 224-3421
Executive Editor
North Carolina and has also worked in investment banking, VINCENT YESENOSKY
Weston Tompkins EMMA BLACKWELL Senior Operations Manager
at Wachovia and Cratos Capital Partners. Managing Editor (212) 224-3057
(212) 224-3279
Barger’s position was created in response to rapid growth in the firm’s client CHRISTOPHER FLORES
DAVID SILVA
Senior Fulfillment Manager
base, said Tompkins. When he joined in August 2006 the Atlanta office had 30 Reporter
(212) 224-3271
(212) 224-3573
clients; it has since grown to 40. ANASTASIA DONDE SUBSCRIPTIONS/
Reporter ELECTRONIC LICENSES
(212) 224-3635
One year - $2,595 (in Canada add $30
Sawgrass Hires Client Service Exec. LOUIS POPE
IISearches Manager
(212) 224-3211
postage, others outside U.S. add $75).
DAN LALOR
Sawgrass Asset Management has hired Gregg Gosch as its first STANLEY WILSON
Director of Sales (212) 224-3045
dedicated client service professional. He was a managing director Washington Bureau Chief STEVE MCDERMOTT
(202) 393-0728 Account Executive
at Comsys, Inc., responsible for client relationship operations. KIERON BLACK
(212) 224-3486
“We’ve been growing very fast and we wanted to add real depth Sketch Artist THEODORE HEALEY
Account Executive [London]
to our client service,” said Brian Monroe, director, sales and PRODUCTION (44-20) 7779-8704
marketing. “Our goal is to treat our clients like prospects.” DANY PEÑA
Director REPRINTS
The Jacksonville, Fla., firm has grown to $1.8 billion LYNETTE STOCK, DEBORAH ZAKEN
DEWEY PALMIERI
Gregg Gosch Managers
Reprint & Permission Manager
under management from $1.1 billion just over a year ago, (212) 224-3675
dpalmieri@institutionalinvestor.com
MICHELLE TOM, MELISSA
primarily in its large-cap growth equity strategy. “Sawgrass has done a great job ENSMINGER, BRIAN STONE,
JAMES BAMBARA, JENNIFER BOYD CORPORATE
of client service, with sales and portfolio people having a lot of client face time,” Associates
GARY MUELLER
said Gosch. “I’m hoping to let everyone focus more on what they’re great at.” JENNY LO Chairman & CEO
Web Production & Design Director
CHRISTOPHER BROWN
MARIA JODICE President
OCERS Seeks Real Estate Managers Advertising Production Manager
(212) 224-3267 STEVE KURTZ
Chief Operating Officer
The Orange County (Calif.) Employees Retirement System will seek two ADVERTISING AND ROBERT TONCHUK
BUSINESS PUBLISHING Director/Central Operations & Fulfillment
commingled core real estate funds to handle $46 million in aggregate. Trustees JONATHAN WRIGHT Customer Service: PO Box 5016,
approved the search at a Jan. 22 meeting. CB Richard Ellis Investors and America Publisher
(212) 224 3566
Brentwood, TN 37024-5016.
Tel: 1-800-715-9195. Fax: 1-615-377-0525
Realty Advisors handle $576 million in separate account real estate mandates. ERIK KOLB UK: 44 20 7779 8704
Editor, Business Publishing Hong Kong: 852 2842 6910
Over five years, all this money will be moved into open-ended commingled funds. (212) 224-3785 E-mail: customerservice@iinews.com
The latter provide better liquidity and diversification, lower fees, less price volatility PAT BERTUCCI, MAGGIE DIAZ, Editorial Offices: 225 Park Avenue
LANCE KISLING, ADI HALLER, South, New York, NY 10003.
and more transparency, according to the fund’s consultant, Callan Associates. Associate Publishers Tel: (212) 224-3279
Email: eblackwell@iinews.com
Separately, the $8 billion fund selected Schroder Investment Management LESLIE NG
Advertising Coordinator Money Management Letter is a
to handle $70 million in active commodities and Wellington Management (212) 224-3212 general circulation biweekly. No
statement in this issue is to be construed
Co. to manage $50 million in a Diversified Inflation Hedges strategy. The fund as a recommendation to buy or sell
securities or to provide investment advice.
also chose PIMCO to oversee $70 million in passive commodities and The
Money Management Letter ©2008
Clifton Group for $130 million in a cash overlay strategy. These allocations Institutional Investor, Inc. ISSN# 720-90190
should protect against inflation while achieving higher returns than Treasury- Copying prohibited without the
permission of the Publisher.
inflation-protected securities.
Schroders’ strategy uses top-down analysis and selects companies globally
through fundamental and quantitative research. Wellington’s multi-asset portfolio
invests in commodities, inflation-linked bonds and global equities. PIMCO has
been managing money for OCERS for the past 25 years. The firm has a proven
track record, strong risk analysis and impressive client service, wrote Investment
Analyst Amit Thanki in a memo. The Clifton Group was selected for its focus on
cash overlay and long-standing relationships with California pension funds.
2 ©Institutional Investor News 2008. Reproduction requires publisher’s prior permission.

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and wealthy individuals.
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4. Money Management Letter www.moneymanagementletter.com January 28, 2008
Searches
Denver Schools Study managers. Albourne America advises the plan on hedge funds.
The system started investing in private equity two years ago. It
Portable Alpha has a 10% target but only 3% is actually invested. Krummen is
The $2.9 billion Denver Public Schools seeking hedge funds that could function as private equity
Retirement System will study portable alpha surrogates while he waits for his private equity managers to make
in the coming months and may make an capital calls. These are mostly long/short equity funds with a
allocation in March. The board considers long bias that aim to deliver equity-like returns with lower
portable alpha a good diversifier and return volatility. Activist hedge funds could fit here, too. Krummen is
generator, said CIO Gary Ratliff. The concerned about equity markets in general and wants to reduce
allocation would likely focus on large-cap equity risk without sacrificing returns.
Gary Ratliff U.S. equity. “It’s getting hard to find
domestic long-only managers that can add value,” he said. “This
way we can increase alpha and still have that U.S. large-cap
Norfolk’s New Board To
beta.” Ratliff declined to speculate on how much might be Consider Alts
committed to portable alpha or if mandates would go to new or The $900 million Norfolk (Va.) Employees Retirement
incumbent managers. System may consider initial investments in alternative asset
classes such as private equity and hedge funds this year. In 2007
Reviewing Hedge Funds the fund’s board had 100% turnover and as of December had
the necessary eight members in place to make investment
Missouri Fund Preps Int’l Real decisions, said CIO Kamal Khanna. The previous board, which
Estate Move had the same chairman for 18 years, had consistently decided
The $1.8 billion Missouri Department of against alternatives. “What do we think of private equity? What
Transportation & Patrol Employees do we think of hedge funds? They will be asking all these
Retirement System is planning to invest in questions,” Khanna said. Any decision would be many months
international real estate and reviewing a host away and he would prefer not to receive manager solicitations
of hedge fund strategies for diversification. until that time.
The fund has 15% of its assets in domestic The new board will also do a complete review of its traditional
private real estate, although its target is only 60% equities, 40% fixed-income asset allocation. “They will
Larry Krummen
13%. CIO Larry Krummen is working with decide from scratch what they will do,” said Khanna. Among the
Summit Strategies Group to diversify the portfolio and is challenges the new board will face will be finding a replacement
researching whether to use international real estate investment for Khanna as cio when he retires in June 2009. Summit
trusts or private real estate. He wants to come up with a game Strategies Group advises the fund.
plan by the end of the first quarter and seek active managers after
that. International investments would be funded by rebalancing
away from domestic managers.
Windy City Utility Opens Doors To
Last year, the board approved hedge funds either as a Alts, Int’l Equity
standalone allocation within the fixed-income portfolio, or as The $1.7 billion Metropolitan Water Reclamation District of
part of a portable alpha platform. The fund currently invests Greater Chicago pension plan is receiving advice on international
20% of its assets in market-neutral hedge funds—7% of which equity and alternatives, such as real estate and hedge funds. It may
are part of its portable alpha program, with the remaining 13% create allocations to these asset classes this year.
sitting within its fixed-income allocation. “We have available cash The plan was released from legislative restrictions
to fund additional hires currently under review,” said Krummen. prohibiting these asset classes last summer, said Susan Boutin,
The fund is considering Asian and European market-neutral executive director. Restrictions were lifted for all state funds in
strategies for diversification. It is also evaluating higher alpha, Illinois almost a decade ago, but MWRD’s conservative board
more opportunistic hedge funds for inclusion elsewhere in its requested to maintain them. The plan asked for permission to
portfolio, such as its 5% opportunistic debt allocation. make international investments last year, but the state
Krummen said he is considering a couple of Asian distressed debt legislature decided to remove all limitations. “They said, ‘You’re
4 ©Institutional Investor News 2008. Reproduction requires publisher’s prior permission.

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6. Money Management Letter www.moneymanagementletter.com January 28, 2008
Searches (cont’d)
being silly. Other state funds have been doing these investments in cash, is about 70% funded. Allan Emkin at PCA advises the
for years and they’re doing fine,’” Boutin recalled. fund and takes calls from managers on its behalf.
MWRD approved a 5% international equity allocation in
December, an amount which could increase later in the year. The
initial allocation was awarded to State Street Global Advisors.
Music City Eyes 130/30,
“Right now we’re just filling in holes in our asset allocation with Infrastructure RFPs
existing managers,” Boutin said, adding that new manager The $2.2 billion Metropolitan Government of Nashville &
searches would be unlikely until at least mid-year. It is too early Davidson County (Tenn.) Pension Plan will likely issue an RFP
to speculate on how much MWRD may allocate to alternatives for a 130/30 manager after a Jan. 29 meeting. An initial
or what form the portfolio might take. allocation will be around $100 million, said CIO Fadi
BouSamra. The plan considers 130/30 a better means of
May Seek Managers capturing alpha than long-only large-cap equity. It may also
Kansas Boosts Real Assets, consider issuing an infrastructure RFP at the meeting, but the
specifics have not been determined.
Int’l Equity BouSamra was appointed cio last May and has been a strong
The $14 billion Kansas Public Employees Retirement System proponent of introducing long/short strategies and
has increased its allocation to real return investments to 14% infrastructure, as well as increasing overall exposure to
from 10% to help meet its liabilities. This allocation includes alternatives (MML, 08/27).
Treasury-inflation protected securities, infrastructure, timber and
absolute return strategies that deliver LIBOR-plus return streams.
CIO Vince Smith said manager hires are likely; over the coming
North Dakota Taps
months, he and his staff will discuss proposals for implementing JPMorgan, Prudential
this increase with the board. The move follows an asset study by The North Dakota State Investment Board
Pension Consulting Alliance that focused more closely on has committed $60 million to JPMorgan
liabilities than past studies. The Sunflower State will cut its fixed- Asset Management’s Infrastructure Investments
income allocation to 14% from 19% as it prefers the risk/return Fund and $75 million to Prudential
profile of real assets to bonds. Investment Management’s Pru Alpha strategy.
International equity will be raised to 25% from 22% and The infrastructure fund fits into the
domestic equity cut to 30% from 35%. Smith said there are $1.4 billion state insurance trust’s exposure
more opportunities in international stock markets. He isn’t sure Steve Cochrane
to inflation-protected assets. This 20%
whether the fund will hire new managers. It uses Acadian Asset allocation used to be held predominantly in Treasury inflation-
Management, Morgan Stanley Investment Management, protected securities, but the board has been gradually
Barclays Global Investors and AllianceBernstein for EAFE and diversifying it. At the end of 2006, North Dakota invested
then Wellington Management Co. and Capital Guardian Trust $100 million of pension fund money into the same JPMorgan
Co. for global equity. Smith hasn’t decided where the reductions fund. JPMorgan has a top-quality team and a wealth of
in U.S. equity exposure will come from, but said the fund has a resources, said CIO Steve Cochrane, adding that he likes the
good line-up of managers. It uses BGI and Quantitative $2 billion infrastructure fund’s open-ended structure.
Management Associates, in addition to portable alpha strategies North Dakota has used Pru Alpha in a cash management pool
with Payden & Rygel Investment Management and Nomura since Aug. 1 and the strategy returned just over 5% in six months
Asset Management, and an in-house passive Russell 1000 with fairly low volatility. This month’s investment is within a
portfolio. Payden & Rygel derives alpha from bonds while portable alpha program—part of North Dakota’s $4.1 billion
Nomura manages Japanese equity; both mandates employ a U.S. pension trust’s large-cap domestic equity portfolio. Pru Alpha,
equity index overlay. which has virtually no correlation to equity or fixed income, reaped
The plan will increase real estate to 10% from 8% and private strong rewards from shorting subprime. Cochrane has known
equity to 6% from 5% using a combination of incumbent Prudential’s fixed-income team for years and said Pru Alpha
managers and new opportunities. The fund, which also has 1% provides access to their best ideas on the long and short sides.
6 ©Institutional Investor News 2008. Reproduction requires publisher’s prior permission.

7. Premium oney Management Letter’s 7th Annual Public Pension Fund Awards for Excellence is held in
Chocolate Sponsors M conjunction with Information Management Network’s 13th Annual Public Funds Summit,
and recognizes industry leaders that have stood out for excellence over the past year. Last year’s dinner
hosted over 200 leaders from every facet of the public funds industry, including more than 90 plan
sponsors and consultants. This year’s dinner is expected to enjoy an even greater turnout. Join us as we
honor the nominees and announce and award this year’s winners!
Lifetime Achievement Award Recipient:
Chuck Valdes, Chairman of the Investment Committee,
California Public Employees Retirement System
Large Public Plan
Award Sponsor Award Categories and Nominees
Plan Sponsor Awards Manager Awards Individual Awards
LARGE PUBLIC PLAN OF THE YEAR ALTERNATIVES MANAGER PUBLIC PLAN CONSULTANT
Arkansas Teachers Retirement OF THE YEAR OF THE YEAR
System The Blackstone Group Doug Kryscio, Principal and
California State Teachers Senior Consultant, Mercer
Retirement System Morgan Stanley Investment
Management Allan Martin, Partner, New
New Jersey Division of Investment
Paulson & Co England Pension Consultants
Mid-Sized Public South Carolina Retirement System Michael O’Leary, Executive V.P.,
Plan Award Sponsor BOND MANAGER OF THE YEAR Callan Associates
MIDSIZED PUBLIC PLAN
Ashmore Investment Management
OF THE YEAR MARKETER OF THE YEAR
PIMCO
Cincinnati Retirement System James Clarke, V.P. for U.S.
Missouri Local Government Loomis, Sayles & Co.
Institutional Business, PIMCO
Employees Retirement System
Kristin Hovencamp, Director of
Missouri Department of EQUITY MANAGER OF THE YEAR
Table Sponsors Transportation & Patrol Employees Institutional Sales, GAM
Baring Asset Management
Retirement System Paul Meskiewicz, Managing
Dimensional Fund Advisors
San Bernardino County Employees Director, Institutional Investment
Retirement Association GMO
Products, Hartford Financial
Group
SMALL PUBLIC PLAN OF THE YEAR EMERGING MANAGER
Austin Police Retirement Fund OF THE YEAR
Haverhill Retirement System Credo Capital Management
Louisiana State Police Phocas Financial
Retirement System Piedmont Investment Advisors
Ohio State Highway Patrol
Retirement System
Speak up!
To convey your support for a nominee, please contact:
Emma Blackwell, at 212-224-3279 or eblackwell@iinews.com
For more information on attending or sponsoring the 7th Annual Public Pension Fund Awards for Excellence
Please contact: Tracey Redmond, Awards Director, at tel: 212-224-3239, or email: tredmond@iievents.com,
or visit the awards website at www.moneymanagementletter.com/mml/2008awards/

8. Money Management Letter www.moneymanagementletter.com January 28, 2008
Marketing Strategies
Hammond Favors Large-Cap Quality fund. They want to hire staff to fill back office positions so they
can focus more on marketing.
Hammond Associates is recommending that
Demand for renewable energy will remain strong as long as oil
clients increase their allocations to large-cap
prices stay high, Laufer said. Sources of renewable energy will
quality growth stocks globally at the expense of
then become lucrative in terms of price competition. Negative
small-cap. The latter reached full valuation early
issues related to fossil fuel will persist, such as climate change.
last year and the discrepancy between small- The fund invests in publicly-traded companies globally, but
and large-cap valuations grew as 2007 Laufer and Cox think there are considerable investment
progressed, said Rich Marra, director of opportunities in the private sector. They will consider launching
Rich Marra
corporate retirement plans in St. Louis, a private equity fund this year. “There is a lot of entrepreneurial
describing large-cap growth as a bargain. Large-caps are better innovation in this sector and not every company is ready to be a
positioned to capitalize on international growth than more public company,” Laufer said.
domestic-oriented small-cap stocks. The investible universe is growing exponentially. When the
Hammond’s clients have tilted their portfolios toward growth New Energy Fund was launched in 2004, Sustainable only had
through a combination of rebalancing and adding new managers. about 25 public companies to choose from, compared to around
Hammond has recommended both active managers and index 650 now. The fund focuses on supply and demand within the
funds to reduce manager and tracking error risk. “Passive renewable energy sector and holds 30-50 stocks, selecting
strategies allow us to reduce cost in efficient markets while we companies with annual growth expectations of 30-50%. Fees are
focus on the skill set in active strategies,” Marra explained. 1.5% and 20%. The fund was up 20% for 2007 and has a 28%
Despite the growth rally from mid-May onwards, the cycle is annualized rate of return over three years.
still in its beginning stages, said Janet Bunch, executive v.p. and
investment counselor at Montag & Caldwell Investment
Counsel in Atlanta. After a seven-year value run-up, growth People
stocks are so cheap that the growth cycle could be prolonged. In
a slowing economy, large-cap companies with consistent earnings
Apollo Snags Rainmaker For Capital
growth are better placed to maintain their profitability. George Markets Push
Northrop, v.p.-marketing at Montag & Caldwell, has seen Apollo Management has hired Robert
reallocations from existing clients and positive flows into the Burdick, chief marketing officer at Pequot
firm’s mutual funds, but there hasn’t been a lot of RFP activity. Capital Management in New York, to
Andrew Eras, director of institutional marketing at Stralem & spearhead an aggressive growth plan for its
Co. in New York, has seen a lot of interest from prospects so far capital markets division. Serving as co-head of
this year, which he attributes to Stralem’s consistent returns. marketing, Burdick will work alongside
Stephanie Drescher, a partner who focuses on
Robert Burdick
Apollo’s private equity business. They plan to
Renewable Energy Manager Taps build an institutional-quality marketing and client service group
Into Rising Demand and have yet to decide how many people to hire.
Sustainable Energy Investors is raising assets for its New Energy Apollo manages $10 billion in five capital markets vehicles,
Fund LP. The $15 million hedge fund recently secured including some hedge funds, and intends to launch additional
commitments totaling $20 million from two funds of funds, strategies. Its current offerings—Apollo Strategic Value Fund, AP
which should be finalized this month. Partner Abigael Laufer Investment Europe, Apollo Investment Corporation, Apollo Asia
hopes to raise $500 million to $1 billion in the next three to five Opportunity Fund and Apollo European Principal Finance Fund—
years. She said interest from U.S. investors is increasing as focus on debt and equity in the public and private markets.
demand for renewable energy rises. “The close collaboration among the firm’s investment teams is
An offshore fund was also launched in September and Laufer truly impressive,” said Burdick, adding that Apollo has a
is seeing enormous interest from Europe in solar energy and fantastic reputation. The firm has $40 billion in total assets
other sectors. Laufer and Founder Marx Cox will be traveling to under management.
conferences and road shows in Europe and the U.S. to pitch their Burdick and his team raised more than $3 billion in
8 ©Institutional Investor News 2008. Reproduction requires publisher’s prior permission.

9. January 28, 2008 www.moneymanagementletter.com Money Management Letter
institutional assets for Pequot, which he joined in January 2005. Consultants Leave Callan
He hired 12 client-facing marketers and client service
Brian Zeiler and Aaron Roberts, consultants
professionals, eight of who remain with the firm. Frances Selby,
at Callan Associates, have left the firm for
head of client service, will replace him.
unrelated reasons. Zeiler, a v.p. and fund
Pequot has experienced mixed fortunes over the past couple
sponsor consultant in Atlanta, is joining
of years, during which it has faced a Securities and Exchange
Commission investigation into insider trading charges against Franklin Templeton Institutional’s Fort
CEO John Mack and Morgan Stanley. No wrongdoing was Lauderdale, Fla., sales team. He will focus on
found. Last year, the $7.4 billion firm closed three funds with Brian Zeiler
East Coast foundations & endowments. He
$500 million in total assets—two had performed poorly and left on Jan. 9, having spent seven years with
the third failed to attract sufficient investor interest. Callan, both as a general consultant and an international equity
Meanwhile, Art Samberg’s flagship Pequot Core Global Fund manager research specialist. His clients have been notified and
returned 35.1% last year and the small-cap Pequot Scout Fund are being transitioned to other consultants, said Nancy
was up 18.4%. Malinowski, spokeswoman.
Throughout his career, Burdick and marketing teams he has Roberts is moving to Artisan Partners in New York where
led have raised $30 billion. He has worked for MacKay Shields, he will be reunited with former colleague Eric Colson. They
Loomis, Sayles & Co. and Travelers Asset Management both belonged to Callan’s Institutional Consulting Group,
Pension Services. which works with money managers. Roberts left Callan’s
Florham Park, N.J., office on Dec. 31 and Colson departed
back in 2005.
Philadelphia Hires
Investment Officer Domestic Bond Team Leaves SSgA
Rhonda McNavish has joined the $5.2 billion Philadelphia Mike Wands, head of fixed income for North America at State
Public Employees Retirement System as an investment officer Street Global Advisors, has left the firm along with three
for public equities and fixed income. She replaces Brian Glanz, portfolio managers. Marie McGehee, spokeswoman, declined to
who left the fund last year to join hedge fund of funds New comment on why they left. Wands could not be reached.
Market Capital. McNavish was previously a senior research As part of a management shake-up late last year, Mark Marinella
analyst at ADVISORport, a provider of managed account was named global cio for fixed income. Paul Greff, director of
technology and operational services to money managers and global fixed income, and Michael O’Hara, head of active global
other financial firms. McNavish has also worked as a credit fixed income, left SSgA. Marinella is planning to enhance his team
analyst at Deutsche Asset Management, said in research, portfolio strategy and risk management, McGehee said.
CIO Chris McDonough. This might involve hiring professionals as the need arises, she
Separately, the fund will issue an RFP for added. Marinella did not return a call.
global bond managers this month or early
February to boost returns in fixed income
and better reflect market opportunities. The NOW GET money management letter
fund invests 24% in bonds with Aberdeen ON FRIDAY!
Chris McDonough
Asset Management and Pyramis Global Paid subscribers now have access to a PDF of the upcoming
Advisors for core-plus, Western Asset Management for core- Monday’s newsletter on MML’s Web site Friday afternoon
plus and global inflation-linked bonds, Lord Abbett for before 5 p.m. EDT. That’s a 64 hour
convertible bonds and Rhumbline Advisers for a passive jump on mail delivery, even when
Lehman Brothers Aggregate mandate. Philadelphia might the post office is on time! Read
switch some incumbent managers to global mandates, but will the news online at your desk or
also consider new firms (MML, 10/18). print out a copy to read at
Additionally, the board will select a general consultant on Jan. your leisure over the
31. The finalists are R.V. Kuhns & Associates, Yanni Partners weekend. Either way, you’ll be
and incumbent Fiduciary Investment Solutions. Emerging getting our breaking news even
market equity finalists will also be chosen at this meeting, sooner and starting your week off
McDonough said. fully informed!
To receive email alerts or online access, call 800-715-9195. 9

10. Money Management Letter www.moneymanagementletter.com January 28, 2008
normally too small to have their own marketing staff, so
partnering with placement agents or getting suggestions from
PLAN SPONSOR other limited partners makes sense. His incumbent managers
often introduce Collett to their other pension fund clients, who
PROFILE put him in touch with successful managers.
Collett doesn’t like to use the term “hedge funds” and prefers
“absolute return,” as he seeks strategies that offer little to no beta.
Brian Collett “Some hedge funds have as much as 30-40% beta exposure and
CIO, Missouri Local Government Employees that’s what I’m trying to diversify away from,” he said. Collett has
Retirement System converted some of his incumbent bond managers to absolute
return strategies and will seek to invest in absolute return equity in
Brian Collett takes a defensive approach to portfolio the coming years. The change will likely be implemented through
management. “My job is to build a house that can withstand any incumbent equity managers that offer hedge fund-like strategies.
type of weather. I don’t forecast the weather,” he said. He focuses
on diversifying the portfolio so it can hold its own through all On Partnering With Managers
market environments in the long-term. Collett makes his managers work for their fees, using them like
When Collett joined the $4 billion fund in 2005, the an investment staff. He often leans on Bridgewater Associates,
portfolio was beating its target 7.5% rate of return. He wanted to Brandywine Global Investment Management, Barclays Global
make sure that performance remained consistent by reducing Investors, PIMCO and Aronson+Johnson+Ortiz for investment
risk, and he sought to diversify the plan as much as possible. analysis and advice. PIMCO manages absolute return fixed-
Collett has convinced the board to invest in a range of alternative income and commodities, and Collett often goes to the manager
strategies including absolute return, portable alpha, 130/30, for fixed-income expertise. He views AJO as a sophisticated
commodities, real estate, private equity and infrastructure. At the trading manager. “I go to them with every trade related
beginning of 2007, the system set a 10% combined target question,” he said. Depending on the managers’ skill set, Collett
allocation to private equity and real estate and has been making will give them analysis work. For example, if he is doing
commitments ever since—seeking managers that have the least capitalization analysis on the whole portfolio or on a specific
correlation to public markets. manager, he will give another incumbent all the holdings and
returns, while removing manager names, and have them evaluate
On Alternatives the portfolio. “It’s the same type of work that I would give an
The fund has already made commitments to private equity funds analyst that was working here,” he said.
with TCW and Brentwood Associates and has invested in an Collett often has so much conviction in his incumbent
infrastructure fund with Global Infrastructure Partners as part managers that he will be the first investor in their new offerings.
of its real estate allocation. Going forward, Collett is seeking Large-cap value firm Systematic Financial Management recently
funds that will be better diversifiers, focusing on opportunistic launched an international equity strategy that the fund invested
real estate, more infrastructure, mid-market to small buyout in. LAGERS was also the first external client in Brandywine’s
funds and mezzanine debt. Large buyouts and venture capital 130/30 strategy. PIMCO, meanwhile, secured a commitment
managers tend to rely on initial public offerings as an exit from the plan in its Distressed Mortgage Fund. Other distressed
strategy, making them more correlated to Missouri LAGERS’ funds have approached Collett, but he and his board had more
traditional investments. “Opportunistic real estate tends to be confidence in PIMCO. “They are a very good bond manager
less general economy oriented and more local economy and an excellent analyzer of credit,” Collett said.
oriented,” he added. It also provides more of a short-term focus,
while infrastructure is longer-term. Personal Notes
As Collett operates with a minimal investment staff and Prior to joining Missouri LAGERS, Collett was a senior research
without a consultant, he has been forming strategic alliances manager at the South Carolina Retirement System. He began
with placement agents. He came across TCW’s fund through his investment career at Russell Investment Group as a senior
an alliance with Credit Suisse. “It’s about finding good technology analyst. Collett is a CFA charter holder and obtained
trustworthy individuals, forming a strategic line-up and telling his MBA from Butler University in Indiana. He lives in Jefferson
them what I’m looking for,” he said. Collett has about 12 City, Mo., with his wife of 15 years, Michelle, and two children,
relationships with placement agents to filter through private Andrew and Zoe. He is an avid runner and hopes to find time to
equity managers. The types of general partners he seeks are participate in a marathon in 2008.
10 ©Institutional Investor News 2008. Reproduction requires publisher’s prior permission.

11. January 28, 2008 www.moneymanagementletter.com Money Management Letter
ASK THE ADVISOR
Investment Subsidiaries Should Distance Selves From Parents
Every issue, MML poses reader questions to consultants. Is there something you’re dying to ask? Let us know by contacting Emma
Blackwell, managing editor, at 212 224 3279 or eblackwell@iinews.com.
Will the asset management divisions of large investment Peter Roney, Director of Manager Research, Cambridge
banks suffer as a result of their parent companies’ Associates: It depends on what is going on in the
recent subprime troubles? organization. Some have handled it better than others—
focused very clearly on maintaining trust and integrity with
David Thomas, ceo, Equitas Capital clients and some have even compensated clients—and that
Advisors: There is almost no way it can not has a very pronounced effect. With subprime it is very
have an impact on the asset management apparent that most of the problems are in active fixed-income
divisions. A corporation works like an so the effect on other investment teams should be negligible.
organism: if it’s bleeding in one area the If clients smell contagion it could become a problem. A loss
whole body will send what is needed to that of confidence in how the overall organization is run can cause
area. The corporation will do what it thinks it staff to leave to protect their reputation. If the hit has enough
David Thomas impact it can cause the reduction of bonuses and incentives
needs to, to survive. Corporate managers and
ceos will move things around. During the bear market from across all teams.
2000 to 2002 a number of asset management divisions were The business of investing is about diversification and
struggling and you saw the parent companies raid other divisions managing risk. The failure of risk management could lead to a
to support them. It could just as easily happen in reverse. The general withdrawal of assets. One of the things we look for in
worst thing they can do is to raid an asset management division an organization is the humility to realize that there is no such
that is doing fine on its own to shore up losses. The division will thing as certainty. No one could have been expected to
hemorrhage talent if they do, because if portfolio managers have anticipate the current problems in subprime. Certainly the
been hitting their marks they’ve earned their bonuses. Those guys ratings agencies didn’t. There is a book called The Black Swan:
know what they’re worth. The Impact of the Highly Improbable by Nassim Nicholas Taleb
The best way for management to minimize the impact with about these big improbable events which no one predicts. It’s a
clients is to make it clear that the investment management arm bit of a hard read, but it does a good job of illustrating that
is a separate entity. Connection with banks that were hit by these events happen far more often than we think they do, or
subprime could have an effect on a search. Just the possibility could. Risk management is based on statistics and events like
of that kind of distraction could cause a manager to lose a subprime are often so improbable that no model can pick
possible mandate. When you get down to the finals you’re them up. I think that all the examples we have seen of serious
probably comparing the best money managers out there. In the losses is with organizations which lost sight of that. They were
end you’re splitting hairs, looking for any reason to bring it making unusual bets; high concentration and a lot of leverage.
down to the one you’re going to entrust with those assets. It Unfortunately, the market has a nasty habit of disabusing us of
doesn’t take much. our certainties.
iisearches posted $220 billion in
alternative search leads in 2006...
The world's number one sales and marketing tool for investment managers
...grow your business with
the latest daily search leads.
For further information on iisearches’ daily search leads and searchable database of search-and-hire activity since 1995, visit www.iisearches.com or contact Keith Arends
in New York at 212-224-3533 or at karends@iinews.com, or Ben Grandy (Europe and rest of the world) Tel: +44 (0)20-7779-8965 or at bgrandy@iinews.com

12. Money Management Letter www.moneymanagementletter.com January 28, 2008
News Recap
The News Recap is a summary of publicly reported news briefs. The information has been obtained from sources believed to be reliable, but
MML does not guarantee its completeness or accuracy.
Funds • Verizon Investment Management is seeking a director to
• The $115 billion Teacher Retirement System of Texas is handle its absolute return investments within its defined
talking to six finalists about becoming “strategic partners,” benefit plans.
including BlackRock. Successful managers will each receive
$1 billion or more to invest across the globe. They will be • Hillcrest Asset Management has hired Douglas Stark as
expected to share knowledge and tactics, and give the fund access managing director for portfolio management and research.
to investment deals. Stark was a senior v.p. and director of research at Martingale
Asset Management.
• The Ohio School Employees Retirement System is seeking a
global real estate investment trust manager to oversee up to Firms
$250 million. Additionally, the plan hired six hedge fund
managers: Och-Ziff Management, Marathon Asset
• Denver-based Red Rocks Capital and ALPS Fund Services
have launched an actively-managed mutual fund that invests in
Management, Diamondback Capital Management, Endeavor the stock of publicly-traded private equity firms.
Capital, Farallon Capital and Taconic Capital Advisors.
• Paradigm Asset Management has launched a high-capacity
• Most U.S. institutional investors posted modest returns last small-cap core strategy designed to offer greater active exposure
year, according to Northern Trust. Corporate and public funds to a variety of small-cap stocks.
returned 8.4% and 8.5%, respectively, while foundations and
endowments gained 9.4%. • Dubai Holding has acquired 38.14 million class A shares of
hedge fund firm Och-Ziff Capital Management Group, a
• The Louisiana State Police Retirement System selected 51.4% stake.
Hancock Timber Resource Group and The Campbell Group to
manage $5 million each in timber. • Consulting firm Laven Partners plans to launch a “best
ideas” fund that will invest with boutique hedge fund
• The Montana Board of Investments will issue an RFP at the managers. Likely dubbed Laven Funds Multi-Strategy
end of January for at least one non-core fixed-income manager. Fund, the portfolio will launch March 1 and will invest in
Currently, all its as all fixed-income assets are managed in-house, about 10 funds.
in core strategies.
• Martin Asset Management plans to launch its Ilios
People Alternative Energy Fund. The long-biased fund will invest in
companies tied to wind, solar, hydro, geothermal and
•Hudson Bay Capital hired Amaranth Advisors’ Chief
biomass energy.
Operating Officer Charles Winkler to fill a similar position.
• Bear Stearns is in
• New England Pension Consultants hired Edward O’Donnell Management. Chinatalks to acquire a 10% stake in China has Asset
III and Jeffrey Mitchell as consultants. O’Donnell was an AM, a subsidiary of Citic Securities,
assistant v.p. and portfolio specialist at Wellington Management also held talks with T. Rowe Price Group.
Co. Mitchell was a senior investment consultant at Pillar • Credit Suisse and General Electric are teaming up to launch a
Financial Advisors. $1 billion Middle Eastern infrastructure fund with Abu Dhabi-
based investment firm Mubadala.
• Daniel Cardell has joined Wayne Hummer Asset
Management as president and cio. He was teaching finance at • BlackRock’s fourth-quarter earnings surged 90%, thanks
the University of Illinois at Chicago and previously served as largely to acquisitions and performance fees. Acquisitions
director of equities at Weiss, Peck & Greer and Bank of America including Merrill Lynch’s investment unit and Quellos Group’s
in Chicago. Todd Doersch, founder of hedge fund Cognitive hedge fund unit helped the firm double its assets to $1.4 trillion.
Investment Management, has also joined Wayne Hummer as Performance fee income more than tripled to $153 million from
head of product management. $40 million.
• State Street Corp. has promoted David Gutschenritter to • UBS launched the UBS Greenhouse Index, which allows market
treasurer from executive v.p. players to gauge their exposure to greenhouse gas emissions.
12 ©Institutional Investor News 2008. Reproduction requires publisher’s prior permission.

13. January 28, 2008 www.moneymanagementletter.com Money Management Letter
Search & Hire Directory
The following directory includes search and hire activity from iisearches for the two weeks ending Wednesday, Jan. 23. The accuracy of the
information, which is derived from many sources, is deemed reliable but cannot be guaranteed. All amounts are in US$ millions unless
otherwise stated. To report manager hires and new searches, please call Emma Blackwell at (212) 224-3279.
Potential Searches
Total Account
Fund & City Amount Plan Type Assignment Size Consultant Comments/Firm Hired
Armstrong World Industries, USD2,500 Corporate D.B. Unknown / Active USD2,300 Russell Investment Plans to adopt liability-driven investments this year.
Lancaster, PA Fixed-Income Group, New York, NY
Aurora City General Employees USD306 Public D.B. International / N/A Callan Associates, Will place State Street Global Advisors on watch for personnel
Retirement System, Aurora, CO Active Equity San Francisco, CA changes.
Cranston Print Works Co., USD89.60 Corporate D.B. Global / Asset Study USD89.60 State Street Global Will conduct a triennial asset allocation study by June.
Cranston, RI Advisors, Boston, MA
Cranston Print Works Co., USD89.60 Corporate D.B. US / Active Fixed-Income N/A State Street Global Analyzing liability-driven investment strategies with plans to
Cranston, RI Advisors, Boston, MA eventually add the asset class to its portfolio.
Hercules Incorporated, USD2,035 Corporate D.B. US / Active Fixed-Income N/A Russell Investment Group, Increasing its fixed-income exposure to 80%.
Wilmington, DE New York, NY
Ingram Industries, Nashville, TN USD187 Corporate D.B. Global / Asset Study USD200 Unknown Will do an asset allocation study next month.
Maryland State Retirement & USD39,800 Public D.B. US / Alternative (All) / N/A Ennis Knupp + Associates, May seek commodities managers after increasing the allocation to
Pension System, Baltimore, MD Commodities Chicago, IL 5% from 2%, following an asset study.
Maryland State Retirement & USD39,800 Public D.B. Global / Active Equity N/A Ennis Knupp + Associates, Increased its allocation to 15% from 10% and may seek managers
Pension System, Baltimore, MD Chicago, IL later this year.
Metropolitan Water Reclamation USD1,100 Public D.B. International / N/A Standard Valuations, Studying international equity and may make allocations to the asset
District Retirement Fund, Chicago, IL Active Equity St. Paul, MN class this year.
Metropolitan Water Reclamation USD1,100 Public D.B. US / Alternative N/A Standard Valuations, Researching hedge funds. May make allocations this year.
District Retirement Fund, Chicago, IL Hedge Funds St. Paul, MN
Metropolitan Water Reclamation USD1,100 Public D.B. US / Real Estate N/A Unknown Trustees are learning about real estate and may make allocations
District Retirement Fund, Chicago, IL this year.
Missouri Department of USD1,800 Public D.B. International / Real Estate N/A Summit Strategies Group, Planning a maiden foray into international real estate.
Transportation & Patrol Employees St. Louis, MO
Retirement System, Jefferson City, MO
Missouri Public School Retirement USD25,700 Public D.B. US / Passive Equity N/A Unknown Planning changes to its domestic large-cap equity program,
System, Jefferson City, MO including shifting some money to passive from active management,
terminating several managers and seeking alpha sources.
Montana Board of Investments, USD8,000 Public D.B. US / Active Fixed-Income / N/A R.V. Kuhns & Associates, Will discuss issuing an RFP for non-core fixed-income managers at
Helena, MT High-Yield Portland, OR its February board meeting.
New Mexico State Investment USD16,500 Endowment US / Real Estate N/A Unknown Looking to increase its real estate exposure to 3% from 2.5%.
Council, Santa Fe, NM
New Mexico State Investment USD16,500 Endowment US / Alternative N/A Unknown May seek additional hedge fund managers as part of its strategy to
Council, Santa Fe, NM Hedge Funds agressively round out its alternatives allocation. There is no time
frame for a decision.
Norfolk Employees’ Retirement USD900 Public D.B. US / Alternative N/A Summit Strategies Group, Considering initial private equity investments this year. Not talking
System, Norfolk, VA Private Equity St. Louis, MO calls from managers.
Norfolk Employees’ Retirement USD900 Public D.B. US / Alternative N/A Summit Strategies Group, May consider initial hedge fund investments this year. Would prefer
System, Norfolk, VA Hedge Funds St. Louis, MO not to receive manager solicitations at this time.
Oklahoma Police Pension & USD1,800 Public D.B. US / Active Equity / N/A Asset Consulting Group, Will review performance of its enhanced large-cap mandate run by
Retirement System, Oklahoma City, OK Large-Cap St. Louis, MO State Street Global Advisors at its next meeting. It may recommend
termination and possible issuance of an RFP to replace the firm.
New Searches
Arkansas Teachers Retirement USD12,000 Public D.B. US / Alternative N/A Ennis Knupp + Associates, Carved out a 5-6% allocation to inflation-protected strategies
System, Little Rock, AR Chicago, IL including timber, commodities, infrastructure and TIPS.
Arkansas Teachers Retirement USD12,000 Public D.B. US / Active Equity USD300 Ennis Knupp + Associates, Will conduct an invitation-only search and issue RFPs to a group of
System, Little Rock, AR Chicago, IL activist managers.
Fort Worth (Texas) Employees USD1,800 Public D.B. US / Consultant N/A None Issued an RFP for a hedge fund consultant. Proposals are due by Feb. 1.
Retirement Fund, Fort Worth, TX
To receive email alerts or online access, call 800-715-9195. 13

15. January 28, 2008 www.moneymanagementletter.com Money Management Letter
New Searches (cont’d)
Total Account
Fund & City Amount Plan Type Assignment Size Consultant Comments/Firm Hired
International Paper Co., USD8,500 Corporate D.B. US / Alternative (All) / N/A Rocaton Investment Seeking managers of derivatives-based strategies. Plans to make
Stamford, CT Commodities Advisors, Norwalk, CT selections during the first quarter. Interested firms should contact
Rocaton Investment Adivsors.
International Paper Co., USD8,500 Corporate D.B. US / Alternative (All) N/A Rocaton Investment Seeking commodities managers. Plans to make selections during the
Stamford, CT Advisors, Norwalk, CT first quarter. Interested firms should contact Rocaton Investment
Adivsors.
International Paper Co., USD8,500 Corporate D.B. Global / Passive N/A Rocaton Investment Seeking managers to implement new allocations to Treasury
Stamford, CT Fixed-Income / Advisors, Norwalk, CT inflation-protected securities. Plans to make selections during the
Inflation-Linked Bonds first quarter of this year. Interested firms should contact Rocaton
Investment Adivsors.
Massachusetts Pension Reserves USD54,200 Public D.B. EAFE / Passive Equity USD1,500 Unknown Looking for passive EAFE equity managers.
Investment Management Board,
Boston, MA
New Jersey Division of USD81,800 Public D.B. US / Active Equity / USD2,000 Strategic Investment Will issue an RFQ for managers to handle USD2 billion in small-cap
Investment, Trenton, NJ Small-Cap Solutions, San Francisco, CA later this month.
New Jersey Division of USD81,800 Public D.B. International / USD3,000 Strategic Investment Will issue an RFQ in March for managers to handle USD3 billion in
Investment, Trenton, NJ Active Equity Solutions, San Francisco, CA March.
New Jersey Division of USD81,800 Public D.B. US / Alternative USD2,000 Cliffwater, LLC, Will invest USD1.7 billion in hedge funds and USD250 million in
Investment, Trenton, NJ Hedge Funds Santa Monica, CA fund-of-funds by June 2008. It will focus on emerging manager and
activist fund-of-funds.
North Attleboro (MA) Retirement USD60 Public D.B. International / N/A Dahab Associates, Will issue an RFP for an international equity manager by month’s end.
System, North Attleboro, MA Active Equity Franklin, MA
Ohio Police & Fire Pension USD12,900 Public D.B. US / Alternative Hedge USD400 Wilshire Associates, Requesting proposals from qualified firms interested in providing
Fund, Columbus, OH Funds / Market-Neutral Pittsburgh, PA active market-neutral alpha overlay investment management
Hedge Fund services. Proposals are due Feb. 8.
Orange County Employees USD8,000 Public D.B. US / Real Estate / Core USD46 Callan Associates, Seeking two commingled fund managers for its core real estate
Retirement System, Santa Ana, CA San Francisco, CA program.
School Employees Retirement USD11,690 Public D.B. Global / Real Estate / USD250 Unknown Searching for a global REIT manager to run up to USD250 million.
System of Ohio, Columbus, OH REIT The RFP will be issued in the next few weeks.
Workers Compensation Board CAD2,800 Permanent Fund Global / Active Equity / N/A Brockhouse & Cooper, Actively seeking 130/30 equity managers.
of Alberta, Edmonton, ALB 130/30 Montreal, QE
Updated Searches
Adams County Retirement USD206 Public D.B. US / Active Equity / N/A Watershed Terminated RS Investments from a domestic small-cap growth
Plan, Brighton, CO Small-Cap Growth Investment Consultants, equity mandate.
Highlands Ranch, CO
Adams County Retirement USD206 Public D.B. US / Active N/A Watershed Terminated Janus Capital Corporation for domestic active fixed-
Plan, Brighton, CO Fixed-Income Investment Consultants, income for unspecified reasons.
Highlands Ranch, CO
El Paso County Retirement USD275 Public D.B. US / Active Fixed- USD13 Watershed Terminated Western Asset Management Co. because it wasn’t
System, Colorado Springs, CO Income / Absolute Return Investment Consultants, providing sufficient diversification. WAMCO’s assets were
Highlands Ranch, CO reallocated to incumbents.
Indiana Public Employees’ USD16,100 Public D.B. Global / Active Equity / USD413 Mercer , New York, NY Terminating Brandes Investment Partners.
Retirement Fund, Indianapolis, IN Micro-Cap Growth
Kentucky Retirement Systems, USD17,000 Public D.B. US / Consultant N/A Strategic Investment Issued an RFI for a real estate investment consultant. Responses
Frankfort, KY Solutions, San Francisco, CA were due by Jan. 23.
Massachusetts Pension USD54,200 Public D.B. US / Active Equity USD1,500 Unknown Terminated Boston Company Asset Management and State Street
Reserves Investment Management Global Advisors due to personnel issues.
Board, Boston, MA
New Mexico Public USD13,400 Public D.B. Asia / Alternative Private USD30 Unknown Investment committee is expected to recommend at its Jan. 31,
Employees Retirement Equity / Buyout 2008 board meeting that the fund commit USD30 million to TPG Asia V.
Association, Santa Fe, NM
Teacher Retirement System USD115,000 Public D.B. Global / Active USD6,000 Unknown Plans to hire four to six of the best global money managers to invest
of Texas, Austin, TX Fixed-Income USD1 billion or more each in fixed-income across the globe.
Identified six finalists including BlackRock.
Completed Searches
Austin (Texas) Police USD515 Public D.B. Global / Multi Asset USD15 Consulting Services Group, Thornburg Investment Management
Retirement Fund, Austin, TX Memphis, TN
City of Naples (Fla.), Naples, FL USD85 Public D.B. US / Active Equity / N/A Citigroup, NY Rothschild Asset Management
Large-Cap Value
To receive email alerts or online access, call 800-715-9195. 15

16. Money Management Letter www.moneymanagementletter.com January 28, 2008
Completed Searches (cont’d)
Total Account
Fund & City Amount Plan Type Assignment Size Consultant Comments/Firm Hired
Connecticut Retirement Plans & USD26,000 Public D.B. US / Real Estate / Core USD75 Unknown Cornerstone Real Estate Advisers
Trust Funds, Hartford, CT
El Paso County Retirement USD275 Public D.B. US / Active Equity / USD20 Watershed Eaton Vance Management
System, Colorado Springs, CO Large-Cap Investment Consultants,
Highlands Ranch, CO
Iowa Municipal Fire & Police USD1,500 Public D.B. US / Active Equity / USD40 Summit Strategies Group, Quantitative Management Associates
Retirement System, Des Moines, IA Large-Cap St. Louis, MO
Iowa Municipal Fire & Police USD1,500 Public D.B. US / Active Equity / USD60 Summit Strategies Group, State Street Global Advisors
Retirement System, Des Moines, IA Large-Cap St. Louis, MO
Iowa Municipal Fire & Police USD1,500 Public D.B. US / Active Equity / USD60 Summit Strategies Group, INTECH
Retirement System, Des Moines, IA Large-Cap St. Louis, MO
Iowa Municipal Fire & Police USD1,500 Public D.B. US / Active Equity / USD40 Summit Strategies Group, JPMorgan Investment Management
Retirement System, Des Moines, IA Large-Cap St. Louis, MO
Iowa Municipal Fire & Police USD1,500 Public D.B. US / Active Fixed- USD55 Summit Strategies Group, Aberdeen Asset Management
Retirement System, Des Moines, IA Income / Core St. Louis, MO
Lehigh County (PA) Employees’ USD360 Public D.B. International / USD22 Unknown Julius Baer Investment Management
Retirement Fund, Allentown, PA Active Equity
Los Angeles City Employees USD10,400 Public D.B. US / Active Equity USD22.60 Pension Consulting Sparx Asset Management
Retirement System (LACERS), Alliance, Encino, CA
Los Angeles, CA
Los Angeles City Employees USD10,400 Public D.B. US / Active Equity USD73.80 Pension Consulting Knight Vinke Asset Management
Retirement System (LACERS), Alliance, Encino, CA
Los Angeles, CA
Los Angeles City Employees USD10,400 Public D.B. US / Active Equity USD125 Pension Consulting Relational Investors
Retirement System (LACERS), Alliance, Encino, CA
Los Angeles, CA
Los Angeles City Employees USD10,400 Public D.B. US / Active Equity USD58.70 Pension Consulting Hermes Pensions Management
Retirement System (LACERS), Alliance, Encino, CA
Los Angeles, CA
Los Angeles City Employees USD10,400 Public D.B. US / Active Equity / USD50 Pension Consulting BLUM Capital Partners
Retirement System (LACERS), Small- to Mid-Cap Alliance, Encino, CA
Los Angeles, CA
Los Angeles City Employees USD10,400 Public D.B. West Europe / USD35 Pension Consulting Governance for Owners Group
Retirement System (LACERS), Active Equity Alliance, Encino, CA
Los Angeles, CA
Los Angeles City Employees USD10,400 Public D.B. UK / Active Equity USD35 Pension Consulting Principle Profits Asset Management
Retirement System (LACERS), Alliance, Encino, CA
Los Angeles, CA
Los Angeles City Employees USD10,400 Public D.B. US / Alternative Private USD25 Hamilton Lane Advisors, Vista Equity Partners
Retirement System (LACERS), Equity / Buyout Philadelphia, PA
Los Angeles, CA
Los Angeles City Employees USD10,400 Public D.B. US / Alternative USD10 Pension Consulting Spire Capital Partners
Retirement System (LACERS), Private Equity / LBO Alliance, Encino, CA
Los Angeles, CA
Los Angeles City Employees USD10,400 Public D.B. US / Alternative USD5 Pension Consulting Relativity Fund
Retirement System (LACERS), Private Equity / LBO Alliance, Encino, CA
Los Angeles, CA
Los Angeles City Employees USD10,400 Public D.B. US / Active Equity / USD50 Pension Consulting New Mountain Capital
Retirement System (LACERS), Large-Cap Alliance, Encino, CA
Los Angeles, CA
Louisiana State Police Retirement USD460 Public D.B. US / Alternative / USD5 PRIME Asset Consulting, Hancock Timber Resource Group
System, Baton Rouge, LA Timberland/Vineyards Weehawken, NJ
Louisiana State Police Retirement USD460 Public D.B. US / Alternative / USD5 PRIME Asset Consulting, The Campbell Group
System, Baton Rouge, LA Timberland/Vineyards Weehawken, NJ
Massachusetts Pension USD54,200 Public D.B. Global / Active Equity USD2,750 Cliffwater, LLC, Marathon Asset Management
Reserves Investment Santa Monica, CA
Management Board, Boston, MA
Nebraska Investment USD10,800 Public D.B. US / Alternative Hedge USD100 Ennis Knupp + Associates, PIMCO
Council, Lincoln, NE Funds / Distressed Debt Chicago, IL
Nebraska Investment USD10,800 Public D.B. US / Alternative USD25 Ennis Knupp + Associates, Resolute Fund
Council, Lincoln, NE Private Equity Chicago, IL
16 ©Institutional Investor News 2008. Reproduction requires publisher’s prior permission.