St. Louis Police Retirement System placed Strong Capital on probation through Sept. 30, 2004, because of the market-timing investigation against the firm, said Stephen Olish, administrative director. Strong runs $94 million in active domestic large-cap growth equities for the $650 million system. "The important management changes and enhanced corporate governance measures being made at Strong should give all of our investors the confidence that they can maintain their investments with our professionals," Strong spokesman Drew Wineland said in a statement.
Separately, the system is searching for a manager to run $30 million in international equities, replacing Putnam, which was terminated in October following market-timing lawsuits against the firm, Mr. Olish said. The money is parked in a Northern Trust S&P 500 index fund, increasing that to $125 million, he said. A selection is expected at the system's January board meeting. CRA RogersCasey is assisting. Laura McNamara, Putnam spokeswoman, did not return a call seeking comment by press time.