Chicago Transit Authority Employees Retirement Plan committed $25 million to Mesirow Financial Real Estate Value Fund II, recently released board meeting minutes showed.
The pension fund previously committed fund to predecessor fund Mesirow Financial Real Estate Value Fund I.
Separately, the $1.9 billion pension fund terminated Ativo Capital Management from a $34.5 million active large-cap core equity portfolio.
The board's decision to terminate Ativo was based on a recommendation from the pension fund's investment consultant, Marquette Associates, and a review of “underperformance indications,” the minutes stated. Additional information could not be learned by press time.
Mike Brooks, an Ativo spokesman, said he thought a strategy shift was the primary reason for Ativo's termination. After Ativo's termination, the pension fund released an RFP for passive large-cap managers, Mr. Brooks said.
John Kallianis, executive director of the pension fund, and Jim O'Connell, the pension fund's general counsel, could not be reached for additional information by press time.
Assets from the termination will be split evenly between Invesco and Edgar Lomax, existing large-cap core and large-cap value managers, respectively. As of June 30, Invesco and Edgar Lomax managed about $74 million and $99 million, respectively, for the pension fund.