Les Schwab Tire Centers Inc., Prineville, Ore., hired Grantham, Mayo, van Otterloo to manage up to $10 million in emerging market equities, a new asset class, said Steve Bjorvik, manager. The $330 million trustee-directed profit-sharing plan will fund the hiring by trimming two active domestic equity portfolios - $15 million from large-cap value manager Pacific Financial Research, now worth $37 million, and $10 million from a small-cap growth mandate run by Mazama Capital, now at $18 million.
The remaining $15 million from the reductions likely will be used to fund a new active domestic small-cap value equity manager, Mr. Bjorvik said. The plan later this month will review a shortlist of managers for that portfolio, but no time frame for a selection has been set, Mr. Bjorvik said.
Hammond Associates is assisting.