RFP.pdf

PDF 537 KB Posted May 21, 2024

Attached to: APP 1526 - Index Portfolio Management and Transition Management Services Federal contract opportunity
Solicitation number: 1526
Issued by: Pension Benefit Guaranty Corporation

About this file

Written by GovTribe AI · May 21, 2024

This document is a Request for Proposal (RFP) issued by the Pension Benefit Guaranty Corporation (PBGC) for index portfolio management and transition management services.

The key objectives are to provide efficient and cost-effective exposure to publicly traded equity and fixed income markets worldwide through index management services, and to allow PBGC to make changes to its portfolios managed by other firms through transition management services. PBGC is seeking index management services for 11 different benchmark indices across equity and fixed income asset classes, as well as transition management services to facilitate changes to PBGC's overall investment portfolio. The RFP provides estimated initial allocations for each index fund ranging from $100 million to $7.6 billion. Pricing is structured as a fixed-rate variable quantity contract based on the percentage of assets under management. The period of performance is a one-year base period with nine one-year option periods. Offerors must meet strict requirements related to reporting, compliance, disaster recovery, and key personnel qualifications.

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Other files for this federal contract opportunity

Other files attached to APP 1526 - Index Portfolio Management and Transition Management Services, newest first.
File	Type	Posted
Amendment 1.zip	ZIP file	Jun 4, 2024
RFP Attachments_16PBGC24R0008.zip	ZIP file	May 21, 2024
16PBGC24R0008_1449.pdf	PDF	May 21, 2024
Signed Solicitation Cover Letter_16PBG24R0008.pdf	PDF	May 21, 2024

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SECTION 1 – SUPPLIES OR SERVICES AND PRICES

Request For Proposal 16PBGC24R0008 PAGE 1-1

REQUEST FOR PROPOSAL (RFP)

16PBGC24R0008

Index Portfolio Management & Transition

Management Services in support of:

Pension Benefit Guaranty Corporation – Corporate

Investment Department

Issued to:

All Open Market Companies

This contract is applicable to the Contract that is awarded under this RFP

Conducted under Federal Acquisition Regulation (FAR) 12 and 15.

Issued by:

Pension Benefit Guaranty Corporation

445 12th Street, SW

Washington, D.C. 20024

May XX, 2024

PBGC Project Number 1526

Request For Proposal 16PBGC24R0008 PAGE 1-2

1.1 ORDER TYPE

This Contract is a Fixed Rate Variable Quantity (FRVQ) type contract. The contractor shall perform the effort required by this Contract based on the established tiered fee structures at the time of award:

The work shall be performed in accordance with all Sections of this contract. An acronym listing to support this Request for Proposal (RFP) is included in Section 9 – List of Attachments, Attachment J.

1.2 SERVICES AND PRICES

The following abbreviations are used in this price schedule:

CLIN Contract Line Item Number

FRVQ Fixed Rate Variable Quantity

NTE Not-to-Exceed

ODC Other Direct Cost

QTY Quantity

Request For Proposal 16PBGC24R0008 PAGE 1-3

1.2.1 BASE PERIOD:

CLIN 0001 Russell 3000 Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Insert % On the balance Insert Value $ Insert Value $

Update the table above as necessary to show the necessary number of tiers.

CLIN 0002 U.S. Real Estate Securities Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 0003 MSCI EAFE Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 0004 MSCI EAFE Value Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-4

CLIN 0005 MSCI EAFE Small Cap Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 0006 MSCI Canada IMI Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Insert % On the balance Insert Value $ Insert Value $

Update the table above as necessary to show the necessary number of tiers.

CLIN 0007 MSCI Emerging Markets Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 0008 Bloomberg U.S. Aggregate Bond Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-5

CLIN 0009 Bloomberg U.S. Long Government Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 0010 Bloomberg U.S. Intermediate Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 0011 Bloomberg U.S. Long Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 0012 Transition Management

Asset

Classes Unit cents per share

(cps)/basis points (bps) (select one)

Cost

Insert % Insert Value Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-6

1.2.2 OPTION PERIOD ONE:

CLIN 1001 Russell 3000 Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 1002 U.S. Real Estate Securities Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 1003 MSCI EAFE Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 1004 MSCI EAFE Value Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-7

CLIN 1005 MSCI EAFE Small Cap Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 1006 MSCI Canada IMI Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Insert % On the balance Insert Value $ Insert Value $

Update the table above as necessary to show the necessary number of tiers.

CLIN 1007 MSCI Emerging Markets Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 1008 Bloomberg U.S. Aggregate Bond Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-8

CLIN 1009 Bloomberg U.S. Long Government Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 1010 Bloomberg U.S. Intermediate Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 1011 Bloomberg U.S. Long Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 1012 Transition Management

(cps/bps)

Insert % Insert Value Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-9

1.2.3 OPTION PERIOD TWO:

CLIN 2001 Russell 3000 Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 2002 U.S. Real Estate Securities Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 2003 MSCI EAFE Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 2004 MSCI EAFE Value Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-10

CLIN 2005 MSCI EAFE Small Cap Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 2006 MSCI Canada IMI Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Insert % On the balance Insert Value $ Insert Value $

Update the table above as necessary to show the necessary number of tiers.

CLIN 2007 MSCI Emerging Markets Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 2008 Bloomberg U.S. Aggregate Bond Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-11

CLIN 2009 Bloomberg U.S. Long Government Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 2010 Bloomberg U.S. Intermediate Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 2011 Bloomberg U.S. Long Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 2012 Transition Management

Insert % Insert Value Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-12

1.2.4 OPTION PERIOD THREE:

CLIN 3001 Russell 3000 Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 3002 U.S. Real Estate Securities Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 3003 MSCI EAFE Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 3004 MSCI EAFE Value Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-13

CLIN 3005 MSCI EAFE Small Cap Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 3006 MSCI Canada IMI Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Insert % On the balance Insert Value $ Insert Value $

Update the table above as necessary to show the necessary number of tiers.

CLIN 3007 MSCI Emerging Markets Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 3008 Bloomberg U.S. Aggregate Bond Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-14

CLIN 3009 Bloomberg U.S. Long Government Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 3010 Bloomberg U.S. Intermediate Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 3011 Bloomberg U.S. Long Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 3012 Transition Management

Insert % Insert Value Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-15

1.2.5 OPTION PERIOD FOUR:

CLIN 4001 Russell 3000 Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 4002 U.S. Real Estate Securities Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 4003 MSCI EAFE Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 4004 MSCI EAFE Value Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-16

CLIN 4005 MSCI EAFE Small Cap Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 4006 MSCI Canada IMI Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 4007 MSCI Emerging Markets Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 4008 Bloomberg U.S. Aggregate Bond Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-17

CLIN 4009 Bloomberg U.S. Long Government Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 4010 Bloomberg U.S. Intermediate Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 4011 Bloomberg U.S. Long Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 4012 Transition Management

Insert % Insert Value Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-18

1.2.6 OPTION PERIOD FIVE:

CLIN 5001 Russell 3000 Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 5002 U.S. Real Estate Securities Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 5003 MSCI EAFE Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 5004 MSCI EAFE Value Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-19

CLIN 5005 MSCI EAFE Small Cap Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 5006 MSCI Canada IMI Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Insert % On the balance Insert Value $ Insert Value $

Update the table above as necessary to show the necessary number of tiers.

CLIN 5007 MSCI Emerging Markets Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 5008 Bloomberg U.S. Aggregate Bond Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-20

CLIN 5009 Bloomberg U.S. Long Government Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 5010 Bloomberg U.S. Intermediate Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 5011 Bloomberg U.S. Long Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 5012 Transition Management

Insert % Insert Value Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-21

1.2.7 OPTION PERIOD SIX:

CLIN 6001 Russell 3000 Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 6002 U.S. Real Estate Securities Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 6003 MSCI EAFE Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 6004 MSCI EAFE Value Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-22

CLIN 6005 MSCI EAFE Small Cap Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 6006 MSCI Canada IMI Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Insert % On the balance Insert Value $ Insert Value $

Update the table above as necessary to show the necessary number of tiers.

CLIN 6007 MSCI Emerging Markets Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 6008 Bloomberg U.S. Aggregate Bond Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-23

CLIN 6009 Bloomberg U.S. Long Government Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 6010 Bloomberg U.S. Intermediate Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 6011 Bloomberg U.S. Long Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 6012 Transition Management

Insert % Insert Value Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-24

1.2.8 OPTION PERIOD SEVEN:

CLIN 7001 Russell 3000 Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 7002 U.S. Real Estate Securities Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 7003 MSCI EAFE Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 7004 MSCI EAFE Value Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-25

CLIN 7005 MSCI EAFE Small Cap Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 7006 MSCI Canada IMI Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Insert % On the balance Insert Value $ Insert Value $

Update the table above as necessary to show the necessary number of tiers.

CLIN 7007 MSCI Emerging Markets Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 7008 Bloomberg U.S. Aggregate Bond Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-26

CLIN 7009 Bloomberg U.S. Long Government Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 7010 Bloomberg U.S. Intermediate Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 7011 Bloomberg U.S. Long Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 7012 Transition Management

Insert % Insert Value Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-27

1.2.9 OPTION PERIOD EIGHT:

CLIN 8001 Russell 3000 Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 8002 U.S. Real Estate Securities Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 8003 MSCI EAFE Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 8004 MSCI EAFE Value Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-28

CLIN 8005 MSCI EAFE Small Cap Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 8006 MSCI Canada IMI Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Insert % On the balance Insert Value $ Insert Value $

Update the table above as necessary to show the necessary number of tiers.

CLIN 8007 MSCI Emerging Markets Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 8008 Bloomberg U.S. Aggregate Bond Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-29

CLIN 8009 Bloomberg U.S. Long Government Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 8010 Bloomberg U.S. Intermediate Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 8011 Bloomberg U.S. Long Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 8012 Transition Management

Insert % Insert Value Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-30

1.2.10 OPTION PERIOD NINE:

CLIN 9001 Russell 3000 Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 9002 U.S. Real Estate Securities Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 9003 MSCI EAFE Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 9004 MSCI EAFE Value Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-31

CLIN 9005 MSCI EAFE Small Cap Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 9006 MSCI Canada IMI Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Insert % On the balance Insert Value $ Insert Value $

Update the table above as necessary to show the necessary number of tiers.

CLIN 9007 MSCI Emerging Markets Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 9008 Bloomberg U.S. Aggregate Bond Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-32

CLIN 9009 Bloomberg U.S. Long Government Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 9010 Bloomberg U.S. Intermediate Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 9011 Bloomberg U.S. Long Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 9012 Transition Management

Insert % Insert Value Insert Value $

1.2.11 FAR 52.217-8 OPTION TO EXTEND SERVICES ( 6 MONTHS):

CLIN 10001 Russell 3000 Index

Request For Proposal 16PBGC24R0008 PAGE 1-33 proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 10002 U.S. Real Estate Securities Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 10003 MSCI EAFE Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 10004 MSCI EAFE Value Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 10005 MSCI EAFE Small Cap Index

Request For Proposal 16PBGC24R0008 PAGE 1-34

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 10006 MSCI Canada IMI Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 10007 MSCI Emerging Markets Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 10008 Bloomberg U.S. Aggregate Bond Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 10009 Bloomberg U.S. Long Government Credit Index

Request For Proposal 16PBGC24R0008 PAGE 1-35

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 10010 Bloomberg U.S. Intermediate Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 10011 Bloomberg U.S. Long Credit Index proposed AUM

Total Fees

Insert % on the first Insert Value $ Insert Value $

Insert % on the next Insert Value $ Insert Value $

CLIN 10012 Transition Management

Insert % Insert Value Insert Value $

Request For Proposal 16PBGC24R0008 PAGE 1-36

1.3 SECTION 1 – SUPPLIES OR SERVICES AND PRICES TABLES

1.3.1 FIXED RATE VARIABLE QUANTITY (FRVQ)

Per PBGCFARS 16.208-1-70, a Fixed-Rate Variable-Quantity (FRVQ) type contract provides for a fixed-rate on a PBGC investment management contract. COs establish investment management contracts to obtain services for management of various PBGC pension fund assets.

The offerors providing such investment management services earn revenue based on the value of the assets they manage and invest for PBGC. The contractor’s earnings are calculated based on the contracted “fixed-rate” percentage multiplied by the dollar value of the assets they managed, rather than being paid a flat fee regardless of the value of the assets they managed.

SECTION 2 – DESCRIPTION/SPECIFICATIONS/STATEMENT OF WORK

Request For Proposal 16PBGC24R0008 PAGE 2-1

2.1 BACKGROUND

The Employee Retirement Income Security Act of 1974 (ERISA) established Pension Benefit

Guaranty Corporation (PBGC) as a federal corporation to encourage the growth of defined benefit pension plans, provide timely and uninterrupted payment of pension benefits, and keep pension insurance premiums at a minimum. Defined benefit pension plans promise to pay a specified monthly benefit at retirement, commonly based on salary and years on the job.

PBGC, a wholly owned United States Government corporation, administers the insurance program and termination process for most private-sector defined benefit pension plans that are tax-qualified under the Internal Revenue Code. PBGC is headed by a Director who reports to a

Board of Directors consisting of the Secretaries of Labor, Commerce, and Treasury, with the Secretary of Labor as Chairman. General tax revenues do not fund PBGC. PBGC collects insurance premiums from employers that sponsor insured pension plans, earns money from investments, and receives the assets of the pension plans it terminates. PBGC manages all these assets under an investment policy approved by the Board of Directors. PBGC maintains two separate investment funds: the Revolving Fund and the Trust Fund. The Revolving Fund (valued at approximately $50 billion as of September 30, 2023) receives all premium payments and is invested solely in “book-entry” U.S. Government securities held at the U.S. Treasury. The Trust

Fund (valued at approximately $64 billion) receives assets from terminated plans and is the source of funds related to this contract.

The PBGC Investment Program is structured as a manager-of-managers program. No assets are managed internally. The PBGC exclusively uses institutional investment management firms to invest its assets, subject to PBGC’s oversight and consistent with the PBGC’s Investment Policy

Statement. PBGC selects investment managers after a rigorous procurement process and delegates investment discretion to them to manage the Corporation’s investment assets consistent with guidelines specified by contract. The PBGC continuously reviews and evaluates manager performance and conducts extensive due diligence to ensure satisfaction of performance standards and compliance with investment guidelines.

2.1.1 PURPOSE

The purpose of this requirement is to provide efficient and cost-effective exposure to publicly traded equity and fixed income markets worldwide. Index management services have been used in asset classes that are efficient, where active management is not consistently effective on a risk adjusted, net of fees basis. Index management services are also used to allow for short-term and nimble exposure to asset classes and to allow for rebalancing trades that are low cost and that can be implemented quickly.

PBGC uses the Index Management provider to perform transition management. Transition management service allows for PBGC to make partial or whole sales from portfolios managed by other investment management firms (or the index fund manager), and purchases to add to existing or new portfolios managed by other investment management firms (or the index fund manager). In this way the Transition manager helps asset owners like the PBGC shape and rebalance their portfolios. Transition managers operate in an arm’s length fashion from other asset managers, and are trusted by asset managers, and asset owners (like PBGC) to confidentially handle portfolio position information for both the portfolios that are sold and constructed. Index management firms tend to offer transition management services, so this search is for both kinds of services.

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2.1.2 AGENCY MISSION

The Pension Benefit Guaranty Corporation (PBGC) mission is to encourage the growth of defined benefit pension plans, provide timely and uninterrupted payment of pension benefits, and keep pension insurance premiums at a minimum. To accomplish this mission the PBGC needs to efficiently manage the assets in its Trust Fund according to the goals and target allocations specified in the Investment Policy Statement (IPS). Having a range of equity and fixed income index portfolios allows the PBGC to invest large amounts of assets to gain broad market exposures at low cost and low tracking error. Having a capable and efficient transition manager allows for the PBGC to rebalance the portfolios when markets have shifted PBGC allocations away from the targets specified in the IPS and to reallocate among active managers as they are hired, terminated, or resized to best take advantage of opportunities and conditions in the financial markets. Working with a capable index portfolio manager and transition manager helps the PBGC maximize the return on its investable assets by accessing the markets cheaply and allowing for low-cost rebalancing. This helps the PBGC to retain more assets on a post fee basis in order to pay the pension benefits and keep pension insurance premiums at a minimum.

2.2 SCOPE

The scope of this requirement is to procure index investment management services for equity, fixed income, and REIT assets and transition management services. PBGC may make awards to multiple managers.

2.3 OBJECTIVE

The primary objective of this requirement is to provide index management services for equity and fixed income index portfolios and transition management services for portfolios (in whole or in part) of publicly traded equity and fixed income assets.

2.4 TASKS

2.4.1. MANAGE INDEX FUNDS

2.4.1.1 The Offeror shall provide index fund management services. Lending funds or non-lending funds are acceptable. PBGC is not seeking actively managed funds.

• The index funds must be in commingled trust funds format for beneficial owners that follow ERISA or separately managed accounts. The Russell 3000 Index fund and the MSCI Emerging Markets Index fund must be managed in a commingled ERISA qualified fund format.

o Documentation of commingled funds will be reviewed by the PBGC Office of

General Counsel and signed by PBGC appropriate officials and the contractor.

• Components of this service include:

Request For Proposal 16PBGC24R0008 PAGE 2-3 o Portfolio Construction Process o Trading o Transfer of assets and handling cash/fund flows o Custody o Proxy voting and stewardship o Class action settlements o Securities lending o Delivery of reporting and attribution o Commingled fund documentation

• The PBGC seeks index management services in 11 varying sub-asset classes (11 different benchmarks made up of 7 equity indices, and 4 fixed income indices).

• Historically PBGC has implemented index exposure utilizing index commingled trust funds (CTFs). While PBGC expects to use CTFs, PBGC would like the option to implement these index exposures via different vehicles (i.e. ETF) if practicable.

• Tracking error should be minimal and be able to be attributed to specific sources.

• PBGC intends to award the following mandates with the following estimated investment allocations:

1. Russell 3000 Index $7.6 billion

2. U.S. Real Estate Securities Index $400 million

3. MSCI EAFE Index $400 million

4. MSCI EAFE Value Index $200 million

5. MSCI EAFE Small Cap Index $200 million

6. MSCI Canada IMI Index $350 million

7. MSCI Emerging Markets Index $100 million

8. Bloomberg U.S. Aggregate Bond Index $300 million

9. Bloomberg U.S. Long Government Credit Index $200 million

10. Bloomberg U.S. Intermediate Credit Index $600 million

11. Bloomberg U.S. Long Credit Index $200 million

Please note, these allocations are initial estimates that may change over time due to the investment results generated by the Offeror and the needs of PBGC.

2.4.1.2 The Offeror shall provide reporting in support of index management services (See Section 5 – Milestone and Deliverable Table).

2.4.1.3 The Offeror shall meet with Corporate Investment Department (CID) staff twice a year.

• Meetings can be conducted in-person, virtually, or at the investment manager’s offices.

At minimum, one meeting per year will occur in-person at the investment manager’s offices.

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2.4.2. TRANSITIONS MANAGEMENT SERVICES

Transition Management Assumptions

For transition management fee determination, assume the following amounts are transitioned annually.

US Treasuries $2 billion

Other Fixed Income $4 billion US Equity (shares) 3 million shares

Developed International Equity (shares) 10 million shares Emerging Markets Equities (shares) 2 million shares

Amounts of fixed income and equity securities trading per year are estimates and will vary over time, with some years having significant transition activity and some years having little and will vary by their relative amounts within each year.

2.4.2.1 The Offeror shall provide transition management services that allow PBGC to make changes in PBGC portfolios.

• This can involve equity and fixed income assets that are actively managed by third parties.

• This can also involve passive assets managed by the index provider.

2.4.2.2 The Transition manager shall have in place processes to ensure that holdings level information from PBGC’s other asset managers is firewalled and treated with confidence.

• This applies to all trades (buys and sells).

• Transition management services include the following:

o Unconflicted reporting lines.

o Robust team with the capacity to handle large volumes of complex transitions.

o Internal controls and monitoring process o Large volume of potential crossing opportunities, including the DoL cross and internal and external crossing for domestic and international securities o Pre- and post-trade analysis o PBGC may require interim/daily reporting during a portfolio transition.

• The contractor shall select and evaluate brokers.

• The contractor shall provide a strategy for minimizing transition costs while maximizing transition quality.

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• The contractor shall complete transitions as an ERISA fiduciary.

• The contractor shall provide unbiased pre-trade estimates.

o Historic realized transition costs do not regularly fall short of the pre-trade estimated transition costs.

• The contractor shall demonstrate large numbers of transitions conducted over the most recent five-year period.

• The contractor shall maintain data controls to ensure trade lists are not shared outside of the transition management group (no conflict with asset manager subsidiary).

• The contractor shall execute transition management as an agent including accepting delegated authority, delegated via a letter of agreement to move assets among PBGC’s custodial accounts.

SECTION 3 – PACKAGING AND MARKING

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SECTION 4 – INSPECTION AND ACCEPTANCE

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4.1 BASIS OF ACCEPTANCE

The basis for acceptance shall be compliance with the requirements set forth in the contract and relevant terms and conditions of the contract. Deliverable items rejected shall be corrected.

Acceptance will occur when all discrepancies, errors, or other deficiencies identified in writing by the Government have been resolved, through documentation updates, program correction, or other mutually agreeable methods.

If the deliverable is adequate, the Government may accept it or provide comments for incorporation.

All of the Government’s comments on deliverables shall either be incorporated in the succeeding version of the deliverable, or the contractor shall explain to the Government’s satisfaction why such comments should not be incorporated.

4.2 DELIVERABLES

The Government may…

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