Ohio Police & Fire Pension Fund, Columbus, put MacKay Shields on watch for a $200 million active high-yield bond portfolio because the firm's co-head of high-yield investing, Don Morgan, left last month, said Dave Graham, a spokesman for the $10.1 billion fund. Fund officials were pleased with the manager's performance, but it is customary to put a firm on watch when the main portfolio manager leaves, Mr. Graham explained. "We're going to wait to see who replaces him," he said. Rene Bustamente, chief compliance officer at MacKay Shields, declined to comment.
The fund also terminated Wells Capital Management, which ran $296 million in active international equities, for performance, Mr. Graham said. The money will be evenly distributed among the three remaining active international equity managers: Fidelity, Thornburg Investment and Acadian Asset. Each manager currently handles about $250 million. Sheila Olson, manager, marketing and communications at Wells Capital, declined to comment.
Separately, the pension fund committed a total of $50 million to three new private equity funds - $20 million to Landmark Equity VII; and $15 million each to Park Street Capital Private Equity VII and HarbourVest International V.