NEW YORK – Robert Angelica, president and chief investment officer of AT&T Investment Management Corp. (ATTIMCO), was promoted to chairman and chief executive of the pension following the retirement of Larry Prendergast in late June.
Mr. Angelica will be responsible for investing and overseeing the $18.7 billion pension, where he has worked since its founding in 1992.
“For the most part, it will be a continuation of what I was doing before,” Mr. Angelica said, adding that he will not be replaced as President and CIO.
Approximately $2 billion, or 11%, of AT&T’s pension is committed to private equity, about 30% of which is slated for venture capital partnerships and the remainder for buyouts. ATTIMCO is conducting an asset allocation study, which could lead to slight adjustments in the pension’s investment strategy, he said.
“The challenge [with private equity] is to maintain their selectivity in investing in private equity in the current environment,” Mr. Angelica said, citing the ripe economy and abundance of new venture funds.
ATTIMCO outsourced its private equity investment program to J.P. Morgan Investment Management Co. in October 1997 (VCJ, December 1997, page 5) and has since committed $900 million to the firm’s two funds-of-funds, one vehicle focused on venture capital and another investing in corporate finance.
“[Bob] has been one of the principal architects of one of the most successful investment strategies around,” said J.P. Morgan Vice President of Private Equity and former ATTIMCO investment professional Larry Unrein, noting that AT&T’s pension has been investing in the asset class for almost 20 years. Moving the private equity team to J.P. Morgan was “the most effective way to evolve and continue [AT&T’s long-standing commitment to private equity],” he added.
J.P. Morgan’s 15-person private equity team includes former ATTIMCO professionals Mr. Unrein, Ted Beit, Brendan Cameron, Laureen Costa, Jarrod Fong, Eliot Powell, Todd McComb and Sandy Zablocki.