US Money Managers Strike Deals in Fight to Keep Mandates (4)

US money managers are working on private arrangements to stem a wave of defections by sustainability-focused clients in Europe’s €6 trillion ($7 trillion) pensions market.

The urgency of such deals was underlined on Monday, when Dutch pension fund PME said it decided to end its relationship with BlackRock Inc. over what it described as differences in how the two view issues such as climate risk and stewardship. It’s the latest in a string of similar breakups, with State Street also among firms to have lost European mandates.

The development has led US managers to come up with workarounds in ...