The Cincinnati Retirement System is examining whether to shift some of the $2.4 billion plan's active domestic equity assets to passive management, as originally reported on Pensions & Investments' website, www.pionline.com, on Friday. The fund currently invests about $1 billion in active domestic equities. The change could improve performance, as the fund overall slightly underperformed its benchmark in the first quarter of 2006. For the first quarter, the fund returned 3.85%, while its custom benchmark returned 3.98%. The information is according to the plan's June 8 meeting minutes, which were released Friday. Jack Walsh, investment officer, was not available to provide further details.
Additionally, fund officials took Smith Graham off its watchlist because of its performance over the past two quarters. Smith Graham manages a $300 million core bond portfolio for the plan.