James Madison University Foundation, Harrisonburg, Va., hired Northern Trust Global Investments to manage about $13 million in a combination of strategies and $11 million in a manager-of-managers program, said Bob Dow, vice president of new institutional business at Northern Trust.
Funding comes from terminating SunTrust, which managed $10 million in active domestic fixed income, said Tom Schaeffer, vice president and CFO of the $35 million endowment fund. The balance comes from reducing an active domestic large-cap value equity portfolio managed by Flippin Bruce & Porter to $7 million from $14 million, and cutting an active domestic large-cap growth portfolio run by The London Co. to $3.5 million from $7 million, he said.
While searching for a new custodian to replace Crestar, the board decided the Northern Trust manager-of-managers program added more service for the same amount of money, Mr. Schaeffer said.
The foundation also hired Northern Trust as a custodian and to provide performance analysis for the assets remaining with Flipping, Bruce & Porter and The London Co.