DENMARK - Danish pension provider Lønmodtagernes Dyrtidsfond (LD Pensions) is preparing to tender approximately 90% of its assets later this year.
Existing contracts are due to expire at the end of this year, so LD has issued a Prior Information Notice revealing it is looking for managers to look after a potential 10 bond and equity mandates worth between €100m and €1.5bn each.
Officials noted they are unable to reveal any further information at this stage as EU procurement regulations impose strict rules on the public tendering process and the final structure of the tender has yet to be decided.
However, the €6bn accounts for up approximately 90% of the assets as non-listed and private equity will not be included in the tender, said Lars Wallberg, CFO at LD.
A more detailed contract notice will be issued in the second quarter of 2010 and a prequalification process will then begin.
LD was created in the 1970s by the Danish government and is a closed-end fund, so changes are being made at the fund to make assets more liquid.