The Philadelphia Municipal Pension Fund terminated P.G. Corbin & Co., a minority firm that managed a $59 million long-term bond portfolio, and will spread the money among its intermediate and long-term bond managers, said Joseph J . Herkness, executive director of the $2.82 billion fund.
Remaining domestic bond managers are Nicholas-Applegate, Miller Anderson & Sherrerd, Smith Graham and Western Asset Management.
Lynn Mander, a senior vice president at Corbin, declined to discuss the reason for the termination.
Convergent Capital Management purchased a majority interest in Bufka & Rodgers, which has $1 billion under management, said H. Tom Griffith, Convergent president. Terms were not disclosed.
Bufka & Rodgers manages both high-net-worth and tax-exempt assets. Convergent, an investment management umbrella firm now with $1.5 billion under management, used a combination of cash and notes for the purchase.
Mallinckrodt Inc., St Louis, added 12 investment options and hired a new record keeper for its restructured $232 million 401(k) plan.
The options are State Street Global's international equity index fund; PBHG's growth equity fund; Fide lity's small-cap equity fund; IDS' mid- to large-cap growth fund; American Express Trust Equity Index Fund II; Dodge & Cox's large-cap equity fund; State Street's bond fund; a stable value option that consists of bond funds offered by MetLife, TransAmerica and American Express; and American Express Trust Money Market Fund II. Also offered are three lifestyle funds. A company stock fund will remain part of the plan.
American Express will be record keeper, pro viding daily valuation and education. Previously, the fund had two investment options from Vanguard and a blended bond fund from MetLife and TransAmerica. Watson Wyatt was the record keeper.
Callan Associates assisted.
Ann Arbor (M ich.) City Employees' Retirement System hired two large-cap growth equity managers.
Montag and Caldwell will manage $35 million and GLOBALT, $10 million. Assets came from the termination of First Chicago NBD, a core equity manager. First Chicago NBD was terminated because the fund wanted to diversify into growth, value and passive mandates, said Robb Hubbs, retirement administrator of the $300 million pension fund.
Officials now plan to look at domestic fixed income and might review the asset allocation, he added. Callan Associates will assist.
The Public School Teachers' Pension and Retirement Fund of Chicago committed $65.6 million to its real estate portfolio in an effort to reach its 5% target allocation. Trustees placed the money with three funds in which it already invests. The board added $10 million to RREEF America REIT, $50 million to J.P. Morgan's Real Estate Fund and $5.6 million to CIGNA's Open-End Real Estate Account R. Mercer assisted. The $7.1 billion pension fund has to invest $61.4 million more to meet its target allocation to real estate.
New Haven (Conn.) Employees Retirement Fund hired Morgan Stanley as a core intern ational manager.
The firm will manage $11 million, which is slated to come from cash reserves and cash raised by balanced account managers Oppenheimer Capital and INVESCO, said Gwendolyn Bell, pension administrator.
Ms. Bell said the board for the $111 million fund liked Morgan Stanley's performance, and the firm already is a manager for the city's police and fire fund. Watson Wyatt assisted.
District Council of Iron Workers of Northern New Jersey, Newark, hired Putnam Institutional Management to manage a $45 million balanced account for its defined benefit plan.
Putnam replaced an existing manager, said Rita Szabo, acting executive director. She would not name the manager or reveal the size of the plan.
Smith Barney Consulting Group assisted in the hiring.
Stephen J. Meyer was promoted to treasurer of Baxter International Inc., Deerfield, Ill., where he previously was vice president of international finance and operations. In his new position, Mr. Meyer will oversee Baxter's $2 billion in retirement benefit assets.
Mr. Meyer is replacing Lawrence Damron, who retired in November, said Deborah Spak, a spokeswoman for Baxter International . She said Mr. Meyer's replacement is Dennis Owczarski, the former corporate treasurer for Caremark International Inc., Northbrook, Ill