CalPERS is reviewing its relationship with PIMCO, which manages $208 million in high-yield corporate bonds for the Sacramento, Calif.-based system, in light of market-timing allegations against the firm, said Brad Pacheco, spokesman. Staff at the $167 billion California Public Employees' Retirement System will review the firm and report to the board in April.
Also, Kansas Public Employees Retirement System, Topeka, on March 19 will hear a report from staff about PIMCO, which runs $412 million in domestic core bonds for the $9.8 billion system, Rob Woodard, CIO, said in a written statement. "The report will include information about the recent allegations involving PIMCO's mutual funds and related entities," Mr. Woodard said. "To date, no action has been taken or recommended" regarding what to do about the portfolio, he said.
Mark Porterfield, PIMCO spokesman, said the company had no comment.