San Francisco City & County Employees’ Retirement System terminated Ashmore Investment Management, which ran $18 million in an emerging markets equity strategy, for poor performance, confirmed David Kushner, deputy director for investments at the $15.1 billion system.
The system had $45 million in the strategy as of Dec. 31, according to a report by the system’s consultant, Angeles Investment Advisors, but the portfolio had been reduced in the last four months.
Angeles Investment Advisors’ report said Ashmore had been under review since the third quarter 2009. It said gross of fees, performance returns for the past one-, three-, five- and seven-year periods, all ended Dec. 31, had been in the bottom 95th percentile.
The money has been transferred to emerging markets ETFs, Mr. Kushner said.
Andrew Yemma, Ashmore spokesman, said the company would have no comment.