New York City Mayor Michael Bloomberg appointed a chief investment adviser Monday to consult with his representatives about city pension funds.

Bloomberg tapped Ranji Nagaswami, a former chief investment officer within a division at the global investment firm AllianceBernstein, for the newly created position. She will also become chairwoman of the New York City Employees’ Retirement System, one of the city’s five pension funds, replacing Office of Management associate director Bud Larson.

City Comptroller John Liu oversees pension funds and in January appointed Lawrence Schloss to be chief investment officer.

City pension fund assets were valued at $103.77 billion on May 31, according to the comptroller’s website. Pension contributions and debt service are two of the city’s fastest-growing expenses, claiming a projected $7.6 billion and $5.35 billion, respectively, of the $63.2 billion budget for fiscal 2011.

Nagaswami, who has 23 years in asset management, will research investments and make asset allocation and investment-strategy recommendations to Bloomberg-appointed trustees on the funds’ boards.

Liu has staked out a more confrontational stance toward the mayor than his predecessor, but his office said they welcomed the new appointee.

“We look forward to working with Ranji Nagaswami,” Liu’s office said in a statement. “This is a talented person joining the pension boards and her appointment will help build on the reforms and success we have had this year.”

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