The Algemeen Burgerlijk Pensioenfonds, the third largest pension fund in the world, is taking a one-third stake in the new company, State Street Global Alliance LLC, to gain access to “high added value and innovative investment strategies (as) part of a shift to a greater focus on active equity investment,” according to Jean Frijns, ABP’s CIO.
The new joint venture will provide seed capital for new funds launched by the firms the alliance invests in and will also consider giving companies additional investment mandates.
Frijns declined to give the value for the deal, but said it represented only a small part of the private equity allocation.
The new joint venture had already made investments in four fund management companies, said John Snow, the firm?s new CEO.
The companies are:
- Advanced Investment Technology, a Florida-based quantitative fund manager specializing in US equity
- Boston Capital Management, a holding company for Moscow-based Russian equity manager Pallada Asset Management
- Rexiter Capital Management, an emerging markets manager based in London
- The Tuckerman Group, a US real estate management specialist.