Fresno County (Calif.) Employees' Retirement Association terminated Common Sense Investment Management, said Phillip Kapler, retirement administrator.
Common Sense managed about $68 million in a hedge fund-of-funds portfolio. Mr. Kapler said the firm was terminated for a combination of performance, recent news and because the $3.5 billion pension fund is heading in a different direction.
Investment consultant Wurts & Associates recommended the termination. Mr. Kapler said a decision on where to place the assets will be decided after an asset-liability study is completed, likely in mid-October.
Earlier this week, James A. Bisenius, founder, CEO and chief investment officer of Common Sense, was arrested in a prostitution sting in Oregon. Mr. Bisenius will remain as CEO and CIO.
“For more than two decades, Common Sense Investment Management has brought superior risk-adjusted returns to our investors and clients. CSIM's success is about a team of committed and driven investment professionals; not one individual. Jim Bisenius' recent personal transgression bears no reflection on this outstanding team of professionals or the quality of portfolio management at CSIM,” said Dean Derrah, president, in an e-mailed statement.
