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Mandate roundup: Swiss pension fund duo tender briefs via IPE Quest [updated]

A couple of Swiss pension funds have tendered a mandate each via IPE Quest.

The first pension fund has issued a $200m (€179m) active high yield bonds mandate.

According to search QN-2572, the fund is looking to invest in global, following the Bloomberg Barclays Global High Yield Total Return Index Value as benchmark.

Additionally, the mandate will be implemented in an umbrella fund under Swiss law. The asset owner will focus on managers with thorough fundamental credit analysis and that have proved to avoid principal capital loss.

Managers should have at least $10bn in assets under management as a firm, and at least $2bn in high yield bonds. Their track record should be at least 10 years, but a minimum of 15 years is preferred.

Applicants should state performance data to 31 October 2019, gross of fees. The closing date is 27 November at 5pm UK time.

As for the second scheme, it is looking to hire a manager for a CHF150m (€136m) global real estate strategy. 

According to search QN-2573, the fund is looking to invest with a value-added/opportunistic style.

Additionally, the pension fund expects the appointed manager to have a dedicated real estate team with at least a five-year track record.

Managers should have at least CHF2bn in assets under management in real estate. Their track record should be at least five years, but a minimum of 10 years is preferred.

Applicants should state performance data to 30 June 2019, gross of fees. The deadline to apply is 6 December at 5pm UK time.

The IPE news team is unable to answer any further questions about IPE Quest, Discovery, or Innovation tender notices to protect the interests of clients conducting the search. To obtain information directly from IPE Quest, please contact Jayna Vishram on +44 (0) 20 3465 9330 or email jayna.vishram@ipe-quest.com.

[The asset region for mandate search QN-2572 was changed to global from global developed markets. This article was updated to reflect that change.]

NEST awards corporate bonds brief

NEST Corporation has appointed Wells Fargo Asset Management (WFAM) to manage a segregated, global corporate bond mandate.

On behalf of NEST and its 8 million members, WFAM will aim to invest around £500m (€574m) over the course of the next 12 months.

NEST has been investing in the UK corporate bond market for several years but is looking to further expand its portfolio, taking advantage of the favourable and stable returns offered globally in this asset class, the UK multi-employer scheme announced today.

Anders Lundgren, NEST’s head of public markets and investment strategy, said: “This step is a natural progression for a scheme of NEST’s size and helps us to further develop our sophisticated investment strategy.”

He added that the UK bond market has been “a successful performer in our funds over the past few years”.

“We’ve looked ahead and seen that there are further opportunities globally in this market, which is why we’re making this move,” he said.

WFAM has been managing credit for more than 25 years, which means the firm has gone through multiple credit cycles, Lundgren said, noting that experience is “hard to replicate”. The manager has a dedicated ESG strategy team to ensure Nest can continue to generate sustained, long-term returns for its members, he continued.

Lundgren also noted that investing through a segregated mandate gives Nest greater control over how its members’ money is invested, ensuring the investor adheres to its strong ESG criteria.

 

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IPE QUEST

Your first step in manager selection...

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

  • QN-2575

    Asset class: Core Real Estate Muli-Manager Separate Managed Account.
    Asset region: Global.
    Size: CHF 150m.
    Closing date: 2019-12-20.

  • QN-2578

    Asset class: Sovereign Local Currency Emerging Market Debt.
    Asset region: Local emerging markets.
    Size: EUR 950m.
    Closing date: 2019-12-19.

  • QN-2582

    Asset class: Emerging Market Corporate Debt Hard Currency Investment Grade.
    Asset region: Emerging Markets.
    Size: USD 40 – 60 m.
    Closing date: 2020-01-07.

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