Cheshire going all active in bonds

UK - The £2.3bn (€3.4bn) Cheshire County Council pension fund is tendering a £330m active bond mandate.

The fund is seeking to change its investment strategy in the bond portfolio, a spokesman explained to IPE.

A passive mandate is currently held by Legal & General while Baillie Gifford manages an active mandate, but this new mandate is going to be active-only so both managers will be allowed to re-tender.

The fund portfolio's overall bond exposure of 14% is not expected to change following the tender, the spokesman confirmed.

However, managers will be required to demonstrate they can outperform the benchmark by 1% to 2%.

No benchmark is set yet but the tender document gives iBoxx overall as an example.

Deadline for participation in the tender is July 9.

Have your say

You must sign in to make a comment


Your first step in manager selection...

IPE Quest is a manager search facility that connects institutional investors and asset managers.

  • QN-2492

    Asset class: Active Investment Grade Corporate Bond.
    Asset region: Global.
    Size: In the region of £2 billion.
    Closing date: 2018-12-10.

  • QN-2495

    Asset class: Large & Mid & Small with bias to Mid Equities.
    Asset region: Switzerland.
    Size: CHF 30m.
    Closing date: 2018-12-10.

  • QN-2496

    Asset class: Commodities.
    Asset region: World.
    Size: CHF 100 – 150 m.
    Closing date: 2018-12-12.

Begin Your Search Here