Sacramento County (Calif.) Employees Retirement System plans to terminate one U.S. large-cap growth and one small-cap value manager to fund new managers running the same equity styles, said Jeffrey States, CIO at the $6.3 billion pension fund. He wouldnt name the firms but said searches were spurred by poor performance.
For the year ended Sept. 30, Independence returned 15.7% net of fees; INTECH, 15.9% net, while the benchmark Russell 1000 Growth returned 19.4%, according to data on the funds website. During the same period, Dalton returned 17.5% net of fees; TCW, 6.2% net; and the benchmark Russell 2000 Value, 6.1%.
No RFP was issued; fund officials are evaluating managers recommended by Mercer, said Mr. States. The pension fund will choose the new managers by Feb. 14, he said.