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As part of the mandate, AL&P will implement a currency programme for OPERF, to manage a $2 billion notional currency exposure. This represents 14% of the non-U.S. portion of the pension fund's $14 billion non-U.S. public equity portfolio. The currency programme is intended to reduce the risks of unmanaged foreign currency, while adding value. AL&P will develop a currency-by currency outlook to optimise its active risk budget, while managing to a 50% hedge ratio.

This appointment follows recent mandate wins from other US institutional investors and brings AL&P's assets under management to $15 billion.

Commenting on the mandate win, Adrian Lee, President and CIO of AL&P said:

"We are delighted to be appointed by the OIC following a competitive process. This win is further proof of our team's expertise in currency management for institutional investors, our proven track record and our unique investment strategy which balances quantitative fundamental research with active forecasting of future fundamentals.

"With continued monetary policy divergence between the USA, Japan and Europe, we are seeing more demand from institutional investors for currency management programmes aimed at reducing risks. Investors are also aware that currencies do not move in straight lines, so there are opportunities to add value too.

"Equity managers are reluctant to take a currency position, as it would be an off-benchmark decision. This is why investors are increasingly looking for a specialist currency manager such as us to help them handle their currency exposure."