SWITZERLAND – The SFr12bn pension fund of the city of Zurich (Pensionskasse der Stadt Zurich – PKZ) has appointed UK fund manager Phillips & Drew to manager an approximately SFr300m (e199m) passive global equities mandate.

The fund for municipal employees is also set to gain independent status from the Zurich City Council early next year, a move that would pave the way for more freedom in its investment dealings.

PKZ has around 23,000 active members and 13,000 pensioners,

The appointment brings to a close the fund’s latest tender process, although talks on the fund’s strategy will re-start in the coming months.

Phillips & Drew has also picked up a £100m (e163m) passive global equities brief from the £315m UK pension fund of energy group Conoco,