Medlantic Health Care, Washington, restructured its pension and corporate investment portfolios, with $100 million each in assets, said John Miller, director of corporate treasury.
Equities will be hiked to 70% of assets - 25% each in domestic large-cap stocks and international stocks and 20% in domestic small-cap stocks. The portfolios had 60% of assets in stocks, all large caps. Fixed income will be cut to 30% from 40%.
In its first moves, the fund:
- Terminated J.P. Morgan ``because we had too many large-cap managers,'' Mr. Miller said;
-Retained two other large-cap managers, Aronson+Partners and Alliance Capital;
- Hired Columbia Partners as a small-cap manager for $15 million in pension assets and $13 million in corporate assets;
Hired Rowe Price-Fleming to run $10 million each in pension and corporate assets in international stocks;
- Terminated ASB Capital as a fixed-income manager; and
- Hired PIMCO as a fixed-income manager. PIMCO will manage $36 million in pension assets and $42 million in corporate money, the same amount ASB managed.