ATP picks Pimco and Citi to run e203m fixed income
DENMARK- The e34bn Danish Labour Market Supplementary Pension Scheme ATP has appointed Citigroup Asset Management and Pimco to manage a $200m (e203m) emerging market bond portfolio. Each company will be responsible for $100m.
Henrik Gade Jepsen, chief fund manager at ATP, said the two managers had been chosen for their superiority in various issues such as performance, human resources, team stability and investment philosophies.
The appointment marks Pimco’s second mandate from ATP- last year it was appointed to manage a $75m (e76m) high-yield bond portfolio.
Pimco has won several Nordic briefs, but this will be its first emerging market bonds in the Nordic countries. In April, Oslo Pensjons Forsikring, the fund for 20,000 of the city’s employees, appointed PIMCO Europe to set up and manage a $220m global fixed-income portfolio.
For Citigroup, on the other hand, it will be its first mandate from ATP. Paul Timlin, Director of Institutional Business for Denmark, Netherlands and Switzerland at Citigroup AM said: “we are increasingly seeing sophisticated European investors broadening their fixed income portfolios and taking advantage of the return and diversification benefits that emerging market debt can provide over time."