Austin (Texas) Police Retirement System hired Thornburg Investment Management to run $15 million in its Global Opportunities mutual fund, according to recently released minutes of the system boards Dec. 19 meeting. Joe Meals, investment consultant for Consulting Services Group, said the Thornburg fund could serve as another good diversifier in global equity, where returns are predicted to be strong in 2008, according to the minutes.
Funding comes from terminating manager Private Capital Management which ran $12 million; an additional $3 million came from cash. No information was available about Private Capitals portfolio, why the manager was terminated or what strategy it used. Neither Sampson Jordan, pension administrator for the $509 million plan, nor Mr. Meals could be reached for comment.
Separately, the plan returned 2.1% in November, bringing year-to-date and one-year trailing returns to 9.2% and 12.8% respectively, according to the minutes. Trailing three- and five-year returns were 14.6% and 14.8%, respectively.