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Type of Role: Investments

Experience Level: Managing Director/CIO

Location: Boise, Idaho

Salary: $150K - $200K

The Public Employee Retirement System of Idaho (“PERSI” or “the System”) is the administrator of seven fiduciary funds (Fund). This includes three defined benefit retirement plans, the Public Employee Retirement Fund Base Plan (PERSI Base Plan) the Firefighters’ Retirement Fund (FRF) and the Judges’ Retirement Plan (JRF); two defined contribution plans, the Public Employee Retirement Fund Choice Plan 401(k) and 414(k) (PERSI Choice Plans)

SYSTEM BACKGROUND/CULTURE
The Public Employee Retirement System of Idaho (“PERSI” or “the System”) is the administrator of seven fiduciary funds (Fund). This includes three defined benefit retirement plans, the Public Employee Retirement Fund Base Plan (PERSI Base Plan) the Firefighters’ Retirement Fund (FRF) and the Judges’ Retirement Plan (JRF); two defined contribution plans, the Public Employee Retirement Fund Choice Plan 401(k) and 414(k) (PERSI Choice Plans); and two Unused Sick Leave Insurance Reserve Trust Funds – one for state employers and one for school district employers. PERSI assets under management total approximately $23 billion (“Trust” or Trust funds or Trust assets).The Retirement Board (“Board”) consists of five members, each appointed by the Governor to fulfill a five-year term. The Board meets monthly to conduct System business, usually on the third Tuesday of each month at PERSI’s headquarters office in downtown Boise. Since 2019, the Board has added Monday afternoons to the monthly meeting schedule. Due to the five-year terms, the Board has not had significant turnover. This stability has allowed the Board to operate in a collegial manner and consensus decision-making approach.The majority of the System’s 69 staff members work in the headquarters office located in Boise.
There are two staff members in the Coeur d’Alene office, and two in the Pocatello office. The System investment staff oversees the investment of the trust assets with professional investment managers and funding agents. The Board maintains fiduciary responsibility for investment policy, asset allocation, and the selection of individual investment managers. Under the leadership of the Chief Investment Officer (CIO) and Executive Director (ED), the overall culture is described as collaborative and team oriented.

THE INVESTMENT PROGRAM
The Deputy Chief Investment Officer role is a newly created position. The Deputy Chief Investment Officer will report to the CIO. This two-person team will manage the investment program. These two individuals will operate as a team and will be involved in all aspects in managing the Trust assets. They will collaborate with and present to the Board which also serves as the Investment Committee.

As one of the best-funded and better-performing defined benefit retirement plans in the world, PERSI has benefited from a “simple, transparent, and focused” investment philosophy for the past 30 years. The long-term asset allocation policy is 55/15/30. The successful candidate will be a skilled professional who can help the Board manage risks and return tradeoffs associated with the current approach, and evaluate opportunities as part of ongoing due diligence.

Salary: Depends upon experience and education.

Closing Date: This announcement will remain open until the position has been filled.

Example of Duties
KEY RESPONSIBILITIES
Reporting to the CIO, DCIO is responsible for providing support to the CIO with the oversight and implementation of the Board’s investment policy for Trust assets. Under the direction of the CIO, the following is an overview of the DCIO’s responsibilities:Management of Investment Portfolios

  • Assist the CIO with implementation of the Board’s investment philosophy and policy for Trust assets, including specific goals and objectives.
    • Knowledge of and belief in our investment philosophy, with an ability to identify the similarities and differences between other funds.
    • Understand the Investment Policy Statements (IPS) for each Fund and ensure adherence to those policies. This involves knowledge of and experience with portfolio strategy implementation, and fundamental knowledge of the contents of the IPS.
    • Understand the goals and objectives, specific to each Fund, which may require reviewing historical documentation, including minutes, actuarial reports, statutes, etc.
    • Create and generate reports off the custodian’s reporting systems, Bloomberg, and other sources.
    • Review and monitor investment managers, including regular portfolio updates (organization, products, strategy, markets, fees) and investment vehicles.
    • Keep apprised of investment strategies, investment vehicles, investment management firms, trends in the industry and impacts on portfolio such as proxy voting, securities litigation, divestment, fund structure changes.
    • Provide ongoing critical and strategic thinking about portfolio structure, strategy, construction, vehicles, and operational implementation.
  • Coordinate with the CIO to ensure that the portfolios are implemented effectively and efficiently.
    • Conduct ongoing meetings/calls w/CIO and other service providers to (staff advisors, consultants, custodian, investment managers, legal counsel). Understand the roles and abilities of each.
    • Be familiar with the investment management industry – the firms, products, vehicles offered, etc. – Research and identify investment managers which might be a good fit for PERSI (even if we’re not actively searching).
    • Review and discuss how the portfolio is performing. This involves a detailed knowledge of our custodial system, risk controls, reporting systems, and other portfolio resources; an understanding of how the pieces fit together; assessing performance relative to the market.
    • Understand how the entire program (including portfolio accounting) fits together. Requires an understanding and familiarity with investment and accounting terms and concepts.
    • Coordinate with fiscal (ED staff) on cash flow, rebalancing, and reporting needs
    • Coordinate with and provide support to Legal (internal and external) for investment management agreements, compliance, security litigation, FOIA.
    • Review investment manager monthly compliance reports to assure adherence to guidelines.
    • Create and generate regular portfolio reporting.
    • Review and keep updated Board governance polices associated with investment program and issues.
    • Provide support and resource to DC team for investment related issues.
  • Inform the CIO of challenges that may impact the operations of the investment program.
    • Requires knowledge of the investment industry; involves attending conferences, developing and establishing relationships within the institutional investing community, reading books, articles, and papers of interest, keeping apprised of news.
    • Requires ongoing outreach to our peers (other public funds) and/or institutional funds (endowments, foundations) to learn about trends which may be coming our way.

Communication

  • Apprise the CIO in a timely fashion of significant matters relating to the investment program.
    • Requires regular discussions/meetings w/CIO to ensure they’re aware of all any and all matters that relate to the program and are able to view those issues from different perspectives. This includes a broad array of topics – from investment issues (i.e., changes in organization, product, strategy, team, reporting, or performance) to non-investment issues (i.e., divestment, legislative restrictions, securities litigation, proxy voting, trends in portfolio oversight).
  • Serve as the central resource to the CIO and others, as appropriate, for information related to PERSI’s investment program.
  • Represent PERSI investment staff on industry organizations and participate in industry conferences.

Policy Matters

  • Make recommendations to the CIO on policy matters pertaining to or having a potential impact on the investment program.
    • Requires a detailed and thorough knowledge of our investment philosophy and IPS, and an awareness and ability to review policies and identify and assess their impact. Involves reading and understanding the IPS, familiarity with developing an IPS, understanding the concepts, thinking strategically about structure and operational implementation of the strategy.
    • Requires contact and/or outreach with peers – w/neighboring states or institutional investors across the nation or globally – to keep abreast of any policy issues they’re facing.
  • Develop and maintain the Board’s investment policy statement documentation for each Fund.

Leadership

  • Lead by example: setting an ethical, professional and high-performance organizational culture for PERSI.
  • Stay abreast of best practices in institutional investments and emerging trends and policy implications.
    • Involves reading articles, attending conferences, networking with other institutional investing professionals, discussions with our consultants and advisors.

Investment Staff Development

  • Manage a stable and competent investment staff consistent with the needs of the PERSI investment program.
  • Promote and support on-going education consistent with PERSI’s stated investment philosophy.

Defined Benefit & Sick Leave Plan Duties

  • Supervise, monitor, and evaluate the performance of the investment managers and other investment agents hired by the Board to assure compliance with investment policy and individual guidelines.
    • Involves creating and/or generating regular reports internally, reviewing consultant review, assessing performance relative to benchmark, reviewing fees, reviewing and assessing portfolio compliance, regularly reviewing and updating the portfolio guidelines if necessary.
  • Recommend to the CIO adjustments to the investment policy, including reviewing and modifying the asset allocation as conditions warrant.
  • Research current market conditions, evaluate new products, and seek out new approaches to improve portfolio return, reduce risk, and reduce costs and fees.
  • Work with consultants, custodians, investment managers, and other agents in the performance of their assigned duties.
  • Assist the CIO with education and other efforts to promote good decision making.
    • Requires ability to prepare, make presentations, read the audience, and provide feedback.
    • Requires knowledge of best practices used in other funds, trends in educational topics, governance.
  • Advise the CIO in hiring and managing investment staff/personnel and outside investment advisors.
    • Assist in the recruitment of talent; requires the knowledge of and relationships with market participants.
  • Coordinate with CIO and other staff to implement investment actions/decisions and reporting needs.
  • Coordinate with CIO to allocate new net contributions to or withdraw net distributions from the System among investment managers in accordance with the long term and strategic ranges established in the asset allocation.
  • Coordinate with CIO to shift assets among managers (including between passive and active managers) as long as the asset allocation is maintained within the stated ranges.

PERSI Choice 401(k) Plan Duties

  • Manage the Total Return Fund consistent with the Board’s philosophy and policy for the Base Plan.
  • Review and approve documentation and participant communications regarding the Total Return Fund (i.e., Factsheets).
  • Provide opinions and advice on the selection, retention, ongoing monitoring of
  • managers/product for each option, including use and number of internal and external products.
  • Provide opinions and advice on the selection of investment related service providers such as the Investment Consultant, Record Keeper, Custodian, Attorneys and Tax Advisors.
  • Provide opinions and advice on the investment fees benchmarking for the investment options.

 

Minimum Qualifications
PROFESSIONAL EXPERIENCE/QUALIFICATIONS

Minimum Qualifications

  • 5+ years of experience in the investment of trust assets

Preferred Qualifications

  • Institutional investment management experience
  • Experience in sourcing and monitoring external managers
  • CFA or MBA preferred

Knowledge, Skills, and Abilities

  • Comprehensive knowledge of investments and modern portfolio theory.
  • Considerable knowledge of purposes, principles, and theories of asset management.
  • Ability to prepare and present investment material to PERSI Board.
  • Strong interpersonal skills with the ability to establish and maintain effective working relationships with external advisors as well as PERSI staff at all levels.
  • Ability to position the investment team as part of the overall PERSI organization.
  • Ability to act professionally and appropriately with tact and discretion.
  • Ability to exercise initiative and independent judgment.
  • Ability to quickly acquire and apply a detailed understanding of the PERSI portfolio.
  • Collaborative and able to work effectively with multiple constituencies, internal (Executive Director and Board) and external (investment consultants, investment managers, etc.).
  • Positive, results-oriented style, evidenced by listening, motivating, delegating, influencing, and monitoring the work being done.
  • Ability to communicate effectively to other investment organizations in Idaho; contribute to a sense of community within the State.
  • Great intellectual curiosity and the desire to adhere to best practices.
  • Establishes immediate credibility with other staff; a professional who engenders respect.
  • Bright mind, strategic and detailed, whose presence will advance the intellectual capital of the organization.

 

Supplemental Information
APPLICATIONS
To apply, please submit your resume and three professional references to Michael Kennedy at michael.kennedy@kornferry.comThis office is an equal opportunity employer.  Hiring is done without regard to race, color, religion, national origin, sex, age or disability. In addition, preference may be given to veterans who qualify under state and federal laws and regulations.
EEO/ADA/Veteran’s Preference

The State of Idaho is committed to providing equal employment opportunities and prohibit discrimination against qualified individuals based on their status as protected veterans or individuals with disabilities and prohibit discrimination against all individuals based on their race, color, religion, political affiliation or belief, sex, national origin, genetics, or any other status protected under applicable federal, state, or local laws.

The State of Idaho is committed to access and reasonable accommodations for individuals with disabilities, auxiliary aids and services are available upon request. If you require an accommodation at any step in our recruitment process, you are encouraged to contact (208) 334-2263 (TTY/TTD: 711), or email ada.coordinator@dhr.idaho.gov.

Preference may be given to veterans who qualify under state and federal laws and regulations.