Pension Funds Insider

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Mandate round-up: Berenberg Bank secures currency hedging mandate for Wiltshire County Council Pension Fund

24 May 2012

Image for Mandate round-up: Berenberg Bank secures currency hedging mandate for Wiltshire County Council Pension Fund

This week's mandate round-up includes Berenberg Bank, Wiltshire County Council Pension Fund, State Street Global Advisors, Standard Life Investments, Nykredit, CalPERS and GI Partners.

Berenberg Bank secures currency hedging mandate for Wiltshire County Council Pension Fund

The Wiltshire County Council pension fund has appointed Berenberg Bank to hedge £500m of non-sterling equity exposure. The bank takes over the mandate from Record Currency Management which lost its passive currency hedging mandate in favour of the bank's dynamic currency hedging framework.

Berenberg, based in Hamburg, was chosen from a shortlist also mentioning Pareto Partners and State Street Global Advisors.
Currently the bank manages $4bn in dynamic currency hedging and alpha strategies.

CalPERS and GI Partners launch $500m fund to buy technology advantaged core real estate

The California Public Employees' Retirement System (CalPERS) announced the launch of TechCore, a new $500m core real estate fund which was established with its real estate partner GI Partners to invest in technology advantaged properties in the United States.

The scheme, which has assets of approximately $235bn, says the new fund will purchase data centers, internet gateways, corporate campuses for technology tenants, and life science properties located in core metropolitan cities throughout the nation and leased to industry leading tenants.

"This partnership represents the next generation of innovative investments to come in core real estate that is wired and ready to support the technology," said Joe Dear, chief investment officer for CalPERS.

It is not the first cooperation the partners commit to. In 2001 CalPERS invested $500m in the GI Partners Fund I, an investment that generated a 31% net annualized internal rate of return. CalPERS committed additional capital to GI Partners Funds II and III and has awarded GI Partners select separate account mandates including CalEast Global Logistics, a transportation advantaged warehouse and logistics real estate owner and operator.

Standard Life Investments secures European corporate bond mandate

Standard Life Investments has been appointed by Danish financial services group Nykredit, to manage an €80m (and growing) segregated European corporate bond portfolio.

The assets will be managed within Standard Life Investments' corporate bond team led by Craig MacDonald, head of investment grade – corporate bonds.

At the end of the first quarter of 2012 Standard Life Investments managed €85.4bn in bonds around the world.

First published 23.05.2012
azeevalkink@wilmington.co.uk