Northern Trust Global Advisors (NTGA), has been selected to implement an expanded mandate including additional domestic and international equity allocations and introducing domestic and global fixed income allocations for the $40 billion Maryland State Retirement and Pension System. The award builds on an existing relationship with NTGA as the state system expands its emerging manager program.
Including the existing program incepted in April 2007, and the new mandate approved this week, NTGA’s Emerging Managers Program will manage approximately $550 million for the Maryland Developing Manager Opportunity Program.
“We have a very good partnership with the State of Maryland, and we are pleased to put our emerging manager research and portfolio construction capabilities to work on an expanded mandate including additional asset classes,” says John McCareins, investment program manager for NTGA. “Maryland’s leadership in emerging managers allows us to further diversify our manager roster, introduce new emerging managers to the system and expand our program.”
Northern Trust was first hired by the Maryland system in October 2006 as program manager, with a mandate to select the best emerging managers in any of the following four asset classes: US fixed income, US equity, developed global equity, and developed international equity. Since April 2007, NTGA has overseen 10 managers with approximately $350 million in assets for the system.
NTGA’s Emerging Managers Program invests more than $5 billion with emerging and minority managers. In the past 12 months, the program has won assignments to invest more than $800 million across US and international equity and fixed income asset classes. The practice was formed in 1993 to help institutions invest with emerging and minority investment advisory firms and access the potential performance advantage of emerging investment firms.
D.C.