UK – The £2bn (€2.85bn) Lothian Pension Scheme says it is set to tender for global and Europe (ex-UK) equities, briefs held by troubled Bank of Ireland Asset Management.
The Edinburgh-based local authority scheme said it would “shortly advertise its management arrangements for global and Europe (excluding UK) equities”.
The re-tender was prompted by “internal changes within the current investment manager”.
Bank of Ireland has suffered a series of senior management defections to Perpetual Trustees. The firm is reported to have lost some €6bn in assets under management since the first departures in October.
Lothian said: “In the case of Europe (excluding UK) equities this has coincided with the normal end of the existing managers’ contracts.
“The global equity portfolio is being sought earlier due to internal changes within the current investment manager. The current manager will be invited to re-apply.”
Bank of Ireland currently manages a £180m global equity portfolio for Lothian. Its fixed five-year contract ends in September 2007. It also runs £78m in global equities, alongside BlackRock – which runs £94m.
Spokespersons for Bank of Ireland were not immediately available for comment.