ITALY – The €26m Eurofer, the fledgling supplementary pension scheme for Italy’s state railways industry workers, has issued an RFP for managers for its assets.

The fund is looking to appoint a maximum of five investment managers, either domestic or foreign, to run balanced mandates comprising equities and fixed income, again both foreign and domestic. The mandates are expected to run for four years, subject to performance.

The scheme has instigated an initial tender process from which it will draw up a shortlist of candidates who will be invited to make more detailed presentations. It hopes to have the full investment strategy and manager roster in place by the end of the year.

Says a spokesman for the Rome-based fund: “We are a small and relatively inexperienced fund. We opted for balanced mandates because we don’t want to increase our risk exposure at this stage by using specialist managers.”

“Balanced portfolios allow us to diversify risk and prevent any one manager from dominating the fund or under-performing to unacceptable levels.”