The Philippines' state pension fund may become the latest government scheme to branch out into alternative asset classes such as hedge funds and private equity after launching a search for up to three fund managers to run an overseas portfolio of $1bn (€732m) that may include such investments.

The fund, known as the Government Service Insurance System, has narrowed its shortlist to nine asset managers from an original group of 36 applicants. The Phillippines scheme has received final presentations from BNP Paribas, Crédit Agricole Asset Management, Credit Suisse Asset Management, Deutsche Asset Management, ING, Northern Trust Global Investment, Pacific Investment Management, Goldman Sachs and Société Générale.