UK – The £160m (€260.7m) Powys County Council pension fund in Wales is looking for asset managers for a £48m active fixed income mandate and two £16m active equity mandates. John McNeil, head of finance at the fund, says the RFP has come about because the fund grew unhappy with the performance of two of its previous equity managers, Lombard Odier and Barings.

Lombard Odier previously ran the fund’s UK equity brief while Barings took care of the overseas equity mandate. The fixed income mandate was previously managed by Barclays Global Investors, who will continue to run the remaining £80m of the fund in passive fixed income and equity portfolios. BGI has been running the entire £160m on a care basis since the removal of Lombard Odier and Barings, says McNeil.

The fund expects to shortlist four managers for the equity mandates and four for the fixed income from the initial RFP, which is in the form of a traditional beauty parade. McNeil says those shortlisted will then be invited to make more detailed presentations and the final selection will be made by September.

The fund’s investment strategy divides its assets equally between fixed income and equities and McNeil says this is unlikely to change. “We don’t invest in alternatives or property and there are no plans to alter the investment policy at this time.”

The fund’s consultant is Watson Wyatt.