Pennsylvania Public School Employees Retirement System, Harrisburg, overhauled its $7.9 billion international equities portfolio, said Jim Grossman, plan risk management head.
The $43.5 billion plan hired Bank of Ireland Asset Management, Mercator Asset Management and Boston Co. Asset Management to run $800 million each in global equities; Boston Co. also was hired to run a $300 million emerging markets portfolio, said Mr. Grossman.
Terminated were T. Rowe Price Associates, American Express Asset Management and Zurich Scudder (now part of Deutsche Asset), which ran $800 million each in global equities; Schroder Investment Management, which ran a $300 million emerging markets portfolio, he said.
"There were a variety of issues with all of them. Performance was a factor, as well as Scudders transition of ownership this year, Mr. Grossman said.
T. Rowe Price spokesman Brian Lewbart, Schroder spokeswoman Cynthia Perl and American Express spokesman Paul Johnson all declined to comment. A DeAM spokesman did not return calls by press time.
The plan also hired Baillie Gifford to run $820 million in global equities, Mr. Grossman said. Funding came from rebalancing from existing managers. The plan retained global equities managers Putnam Investments, Marathon Investment Management, Martin Currie and Capital Guardian, along with emerging market manager Templeton Trust.