Fort Worth (Texas) Employees' Retirement Fund is conducting asset-liability and asset allocation studies of its $1.1 billion pension plan, said Larry Stovall, executive director. Both studies should be finished by the end of November, when the plan will search for an active domestic fixed-income manager to replace Seneca Capital Management, which was terminated last month. Seneca ran $100 million in active domestic core fixed income. The size of the new portfolio will depend on the results of the studies, he said.
Separately, the plan terminated Capital Guardian, which ran $30 million in active emerging markets equities, said Mr. Stovall. The termination was not due to performance, he said; plan officials wanted to get out of the asset class. Plan officials will decide how to allocate the $30 million after the studies are completed, he said. Capital Guardian continues to manage an active domestic equity portfolio for the plan.
The fund's asset allocation is 48% domestic equity, 26% fixed income, 20% international equity and 6% real estate. Callan Associates advised on the changes and will assist with the studies.
