Updated Nov. 10, 2011
Lee Ann Palladino was named chief investment officer of the $22.4 billion Connecticut Retirement Plans & Trust Funds on Wednesday, confirmed David Rivera, a spokesman for state Treasurer Denise Nappier, the funds' principal fiduciary.
Ms. Palladino, who was deputy CIO, had been interim CIO and head of the Connecticut pension funds management division since May when M. Timothy Corbett resigned to become executive vice president and CIO of Massachusetts Mutual Life Insurance.
Mr. Corbett had been CIO of the Connecticut system, which consists of six state pension funds and eight state trust funds, since July 2009.
“Whenever you can find the perfect in-house candidate, and it's someone who has shown skill, dedication and command of the business, then the decision is an easy one.” Ms. Nappier said in a news release. “Ms. Palladino has capably led the pension fund management division on an interim basis since the spring and allowed for a seamless transition. She proved to have the competitive edge and is best suited for the CIO position at the Connecticut State Treasury.”
Separately, the system reported a 10.1% drop in assets for the three months ended Sept. 30, falling to $22.4 billion, according to a report by the State Treasurer’s office to the state Investment Advisory Council on Wednesday.
Among broad asset classes of investments, U.S. equities, international developed market equities and emerging markets equities performed worst, as each lost more than 15.7% of its value. The best performing category was inflation-linked bonds, which gained 4.9%.
The report is on the state treasurer's website at http://www.state.ct.us/ott/pensiondocs/fundperf/fundperformance.pdf.