The staff of the nation’s largest public pension fund recommended that the board renew one-year contracts with ING Ghent Asset Management LLC, Nomura Asset Management Inc., Pacific Investment Management Co., Shenkman Capital Management Inc. and Highland Capital Management LP, according to a Dow Jones report.
The five managers were placed under their current contracts in February 2002. As of the end of the month:
- ING managed $221.9 million
- Nomura managed $236.4 million
- Pimco managed $230.4 million
- Shenkman managed $231.7 million
- Highland Capital Management managed $172.2 million
- Highland Capital Distressed Fund managed $93.3 million.
CalPERS says the objective of its high-yield fixed-income program is to provide diversified exposure to the high-yield market and that a goal of the external managers is to outperform the Salomon Smith Barney Cash Pay High Yield Index. The board of the $130-billion pension fund will vote on the request next week.