Vanguard Group terminated a subadvisory relationship for its Explorer Value Fund, spokeswoman Emily Farrell said.
Sterling Capital Management will no longer serve as subadviser to the $317 million fund. The portion of the portfolio formerly managed by Sterling, approximately 31% of fund assets, has been equally apportioned to existing subadvisers Frontier Capital Management and Cardinal Capital Management.
Frontier and Cardinal will each manage 50% of the fund moving forward.
Sterling Capital was terminated after Vanguard’s trustees evaluated the company. They used a number of factors, including investment process, staffing and performance, to make their decision.
Maxwell J. Anthony, executive director and head of institutional strategy and distribution at Sterling Capital, could not immediately be reached for comment.
Vanguard managed more than $3.5 trillion in assets as of May 31.
