Updated with correction April 13, 2012
Austin (Texas) Police Retirement System terminated three managers for performance, confirmed Sampson Jordan, CEO of the $502 million pension plan.
Aletheia ran $55 million in global equity; Tradewinds managed $30 million in global equity; and William Blair managed $9.8 million in a commodity hedge funds strategy.
All of the assets are being transferred into a Northern Trust S&P 500 index fund, Mr. Jordan said in a telephone interview.
Kathleen Cardoza, spokeswoman for Nuveen Investments, parent of Tradewinds, said the firm declines to comment on the termination. J. Jorge deNeve, senior vice president and general counsel at Aletheia, did not return telephone calls for comment by press time. Tony Zimmer, spokesman at William Blair, did not wish to comment.
The retirement system could end up searching for new managers for the mandate but is awaiting the results of an asset-liability study. Consulting Services Group, the retirement system's investment consultant, is expected to present the results of the study at the April 18 meeting.
The board also placed the $8 million CBRE Special Situations Fund on watch for personnel issues, Mr. Sampson said.