Harbor Fund hired Mastholm Asset Management to subadvise the $440 million Harbor International Growth Fund, an active international equity fund. Mastholm replaces Jennison Associates, which was terminated for performance, said James M. Williams, president of Harbor Fund. Jennison remains the manager of Harbors flagship Capital Appreciation Fund.
Mike Hanretta, a spokesman for Prudential, which owns Jennison, said he cannot comment because Prudential is under an SEC "quiet period imposed prior to demutualization, which is scheduled to take place early next year.
Mastholm will manage the fund using Jennisons fairly concentrated style, with a portfolio of 35 to 45 stocks, each with a minimum market capitalization of $10 billion. Mastholm was not accepting new clients for about two years, said Mr. Williams, who said he had to ask several times before management at the firm agreed to take the fund. "We now offer the only direct access to this highly rated international equity manager, said Mr. Williams.
Separately, Harbor hired Earnest Partners to manage the new Harbor Small-cap Value Fund, which will open to investors Dec. 14.