Kenneth Frier appointed CIO of UAW Retiree Medical Benefits Trust

Jul 10, 2012, 14:40 ET from UAW Retiree Medical Benefits Trust

DETROIT, July 10, 2012 /PRNewswire/ -- Kenneth Frier has been appointed chief investment officer (CIO) of the UAW Retiree Medical Benefits Trust effective August 1. Frier most recently served as CIO of the Stanford Management Company and held similar positions at Hewlett Packard and Disney.

The UAW Retiree Medical Benefits Trust ("Trust") provides access to health benefits for 840,000 General Motors, Chrysler, and Ford hourly retirees The Trust is an independent entity formed in 2007 as a result of collective bargaining agreements between the UAW and Chrysler, Ford and General Motors. The Trust has approximately $54 billion in assets.

The announcement of Frier's appointment was made today by Robert Naftaly, chairperson of the Trust.

"The Trust has a unique mission to serve as a source for retiree health care coverage for nearly one million members over time," said Naftaly. "This mission requires the Trust to be a responsible steward of its assets. Ken's strength is managing risk which will help the Trust create a customized investment strategy to meet its long term needs."

Frier's background, which includes both pension and endowment asset management is uniquely suited to the needs of the Trust according to Adam Blumenthal, chair of the Trust's Investment Committee and partner, Blue Wolf Capital Partners.

"The Trust is a hybrid. While not a pension or an endowment, the Trust has characteristics of both. The Trust has a defined population of retiree members with a relatively predictable set of health benefit needs. The invested assets of the Trust fund the health benefits," said Blumenthal, who chaired the CIO search committee. "Ken's familiarity with both pension and endowment investment strategies is what attracted the Trust to Ken. Ken also brings a track record of success in using investment risk analysis to optimize investment returns. We will learn from Ken's experiences."

Frier served as CIO at Stanford Management Company in 2010 and 2011. Previously he spent 10 years with Hewlett-Packard Company, including serving as CIO from 2007 to 2010 managing $33 billion in retirement plan assets. From 1999-2000, Frier was executive vice president and chief financial officer with From 1991-1999 Frier served as vice president corporate treasury with The Walt Disney Company where he spent two years overseeing the $2.5 billion retirement plan assets.

Frier will relocate to Michigan from California.

The national CIO search was conducted by SpencerStuart.

SOURCE UAW Retiree Medical Benefits Trust