UK - The £1.2bn (e1.9bn) pension fund of T&N, the UK subsidiary of the Federal-Mogul Corporation, has selected Morley Fund Management to manage a £200m bond mandate.

Managed by Morley’s head of gilts Kevin Lorkins, the brief covers gilts, non-government stocks and index-linked bonds and will also permit exposure to overseas bonds.

The objective for the mandate is to achieve a return of 0.75% per annum above the composite benchmark return over rolling three-year periods, within defined risk tolerances.
Nigel Casson of T&N, comments:
“We chose Morley to run this mandate because of their considerable experience in managing fixed interest portfolios. We were particularly impressed with the performance of the credit and gilt elements of the fixed income team and look forward to working with them.”

The trustees were advised by consultant Watson Wyatt.