Mandate roundup: IPE-Quest, London Borough of Bexley
EUROPE - A pension fund is looking to invest as much as €500m in a euro-denominated money market fund, using IPE-Quest.
The scheme, located in mainland Europe, said the objective of the short-term fund should be to provide daily liquidity, while allowing for a return in line with Eonia, the Euro OverNight Index Average, net of fees and costs.
Considering an investment of €300m to €500m, the pension fund tendering QN1228 asked for the vehicle to be AAA rated or equivalent, with a "broad" asset diversification, employing a passive investment approach.
The tender added: "The money market fund's internal processes and controls are validated periodically via an ISAE3402 Type II report (or comparable) with coverage of all for this mandate's relevant processes."
It further asked for the fund's employees to be bound by a code of ethics to be disclosed to the clients, while asking that any company have no less than €5bn in assets under management in similar funds, as well as no less than €10bn in assets across the entire company.
The asset manager should also have a minimum three-year track record, with performance data going back five years preferred.
Applications stating performance to the end of last year should be submitted by 24 February.
Meanwhile, the London Borough of Bexley is looking for a real estate multi-manager to oversee a 25% increase in its property investments.
The £573m (€650m) local authority scheme said it would consider raising its exposure to around 10% of total scheme assets, envisaging a £50m stake in property.
The scheme said the appointed manager would initially oversee £31m of its assets, with the move coming as part of a decision to diversify its investment universe into alternative assets, such as private equity.
Of the changes to its strategic asset allocation, the fund's latest annual report from March last year said: "The alternatives allocation will be split equally between property, private equity and a diversified growth fund. This will be implemented in stages over the next year or two."
Having already invested an additional £15m in property by the end of March following advice from Jones Lang LaSalle, the scheme in June 2011 then contributed a further £10m towards an undisclosed real estate investment.
Interested parties have until 29 March to apply through the Council's procurement office.
The IPE.com news team is unable to answer any further questions about IPE-Quest 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 firstname.lastname@example.org.