The $2.3 billion-plus Philadelphia Municipal Pension Fund terminated Wedgewood Capital Management, which managed more than $500 million in bonds for the fund, confirmed Julio Shaik, a trader at Wedgewood.
The termination followed investment committee members' concerns that Wedgewood ``was dumping securities (into the Philadelphia fund) that they could not get rid of from other portfolios,'' according to minutes of an April 25 committee meeting. The securities at issue were private placements, which were expressly forbidden from being purchased for the Philadelphia fund, according to the minutes.
Philadelphia fund officials didn't return telephone calls seeking comment.
