Published by Asia Asset Management – 22nd Jan 2019
Taiwan’s Public Service Pension Fund (PSPF), a mandatory defined-benefit scheme for civil servants, teachers and military personnel, has hired six locally registered fund managers for its NT$30 billion (US$971 million) domestic equity mandate.
They are Fu Hwa Securities Investment Trust Co., Nomura Asset Management Taiwan, Cathay Securities Investment Trust Co., Uni-President Asset Management Corporation, Capital Investment Trust Corp, and Prudential Financial Securities Investment Trust Enterprise.
Each manager will be appointed for a period of five years and given a NT$5 billion quota each, PSPF says in a statement on January 19.
“The outsourcing will help PSPF strengthen its risk diversification and return enhancement in order to meet its long-term investment objectives,” the pension fund’s investment committee says in the statement.
The pension fund has been outsourcing its domestic equity mandate since 2007. It called for bids for the newly awarded mandate in late November 2018.
PSPF’s last tender was in October 2017, when it sought bids for an $800 million total return fixed-income mandate. Four global managers – Amundi Asset Management, American Century Investments, Deutsche Asset Management and TCW Group – were appointed in January 2018 to oversee the mandate.
The PSPF had NT$564 billion of total assets at the end of November 2018.
