Knoxville (Tenn.) Pension Fund hired Standish Mellon Asset Management to run a $27 million global fixed-income portfolio, said Kristi Paczkowski, executive director.
It is the $540 million pension fund's first global fixed-income exposure and likely will be funded by reducing equities, Ms. Paczkowski said. No managers will be terminated.
Separately, the pension fund hired Northern Trust Asset Management to run a $45 million passive domestic large-cap growth equity portfolio, replacing CastleArk Management, which ran an actively managed domestic large-cap growth equity portfolio.
Ms. Paczkowski said the pension fund simply wanted to move to a passive strategy from active.
Investment consultant Summit Strategies Group assisted.