FRANCE - The €33.4bn Fonds de Reserve pour les Retraites (FRR) is looking for commodity managers.

Following a revision of its strategic asset allocation decided by the FRR supervisory board in 2006, the buffer fund wants to invest an initial €2bn in a commodities mandate.

Last year the fund started to explore the asset class via its overlay manager and commodity index futures.

The two four-year mandates will be awarded to investment service providers "whose brief will be to choose counterparties for the FRR to commodity index swaps". The chosen index is the S&P GSCI Total Return".

The providers will have to effect transactions in accordance with "best execution obligations and manage the related cash".

Interested managers have until November 19 to fill out the tender documentation.