San Bernardino County Retirement Board, San Bernardino, Calif., on Thursday decided to hire outside counsel to pursue a lawsuit against Advanced Investment Management, claiming the firm violated the $3.2 billion fund's investment guidelines, resulting in a $55 million loss, said Timothy Barrett, executive director and CIO.
Advanced Investment Management managed $498 million in an enhanced S&P 500 fund for the plan until it was terminated earlier this month, he said. The assets are being transferred to an S&P 500 fund run by State Street Global Advisors. Fund officials, with assistance from consultant Ennis Knupp, will decide whether to invest the money in another enhanced index fund, a straight passive fund or an active fund.
J. Thomas Allen, president and CIO at Advanced, could not be reached for comment by press time.
