ITALY - The Italian pension fund for public transport workers, Fondo Pensione Priamo, has put out its first request for tender of three managers to run its entire portfolio.

Recently-authorised Priamo, which is expected to be worth €60m at the end of the year, told IPE it would appoint between three and five managers for three briefs. The passive-managed balanced euro area and non-euro mandates would each account for 42.5% of the total portfolio, while the active small cap world equities mandate would have the remaining 15% of the portfolio. The balanced mandates are to comprise short-term bonds, 64.4%, and equities, 35.6%.

The fund told IPE the successful candidates would be chosen for their management style, reporting quality and forecasting skills. The 31,000 member-Priamo, which is assisted by consultant Consulenza Istituzionale Spa, said it was expecting between 24 and 30 tenders.

The fund also said the deadline for applications to manage assets in a single compartment for at least three years was July 9. Candidates can request an application form and a questionnaire emailing the fund:

Fondo Priamo, named after the last king of Troy, was one of 10 second-pillar company pension funds authorised to start collecting contributions in February by the pension regulator, Covip.

Priamo has recruited more than a quarter of its potential membership, estimated by Covip in its 2003 report to be about 120,000. Employers and employees both have to contribute 2% to the fund and monthly contributions are expected to be around €2.5m a month.