By David G. Barry
The California State Teachers’ Retirement System (CalSTRS) has begun efforts to expand and deepen its leadership team.
The $301.6 billion system has posted listings for two new senior investment director positions. One will oversee global equity, fixed income and risk-mitigating strategies and the other will lead real estate, inflation sensitive and private equity strategies. The positions will report to Deputy Chief Investment Officer Scott Chan.
Barbara Zumwalt, a CalSTRS’ information officer, tells Markets Group that it “continuously reassesses its business needs” and that the people hired for the positions “will make investment decisions that have a significant impact on the fund, make tactical and strategic investment recommendations, and advise the deputy CIO on a variety of sophisticated investment portfolio management strategies and decisions.”
According to the listings, the salary range for the positions is $290,004 to $430,000 annually. The positions also are eligible for incentive compensation and have maximum incentive opportunity of 150% of base salary.
The investment directors overseeing real estate, inflation sensitive and private equity would report to one of the new senior investment directors. Currently, Mike DiRe leads real estate, Paul Shantic guides inflation sensitive and Margot Wirth oversees private equity. The person chosen for the role would have knowledge of private markets and experience in coaching and guiding existing senior directors and developing and overseeing investment strategy initiatives, according to the listing.
The investment directors leading global equity, fixed income and risk mitigating would report to the other senior investment director. June Kim is director of global equity. Glenn Hosokawa leads fixed income and risk mitigating is guided by Steven Tong. The person selected for that post would have knowledge of public markets and experience in coaching and guiding existing senior directors and developing and overseeing investment strategy initiatives, according to the listing.
CalSTRS, according to its website, currently has nine investment directors. They are listed below Chan, who reports to CIO Christopher Ailman.
The other investment directors are April Wilcox, who leads investment services; Kirsty Jenkinson, who oversees sustainable investment and stewardship strategies; and Geraldine Jimenez, who directs investment strategy and risk.
For the fiscal year ended June 30, CalSTRS had a negative 1.3% net return, beating its benchmark by 0.9%. It was CalSTRS’ first negative return since 2009 and according to the system reflected the ongoing volatility of global financial markets impacted by inflation, rising interest rates, the COVID pandemic and the war in Ukraine.