UK - The London Borough of Hackney pension fund is considering making its first foray into global tactical asset allocation (GTAA) and currency overlay.

Two tender notices issued reveal the £482m local authority pension fund is seeking two investment managers to take on the handling of a new £150m GTAA strategy as well as a £150m currency overlay mandate.

Officials involved in the tender process say it is still not certain the pension fund will adopt such strategies, but some form of currency overlay would match moves by other public pension funds to hedge their currency positions.

Local authorities pension funds for the Dorset, Norfolk, Staffordshire, Suffolk and Tower Hamlets councils are all currently considering the appointment of currency overlay managers while Wiltshire CC recently appointed Record Currency Management to handle £23m in cash for an active currency overlay mandate the notional size of £320m.

The Hackney pension fund is being assisted in its quest by consultants Hyman Robertson so, in both cases, interested parties must contact Hymans Robertson by September 24.


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