Los Angeles Water and Power Employees' Retirement Plan board hired Mellon Capital for a $382.4 million passive international developed core equity portfolio.
The hiring is pending negotiations on fees.
The $7.3 billion pension fund issued an RFP in November, seeking to replace an active portfolio managed by Invesco. The other finalist in the search was BlackRock. General investment consultant PCA assisted.
The board also made a $25 million commitment to Blackstone Real Estate Partners VII LP, a global opportunistic real estate fund. Blackstone's general partnership is making a $300 million commitment.
Separately, the board approved five finalists in its search for an active emerging markets equity manager. They are DuPont, Dimensional Fund Advisors, J.P. Morgan, Capital International and Los Angeles Capital. The pension fund issued an RFP in November.