Illinois Teachers' Retirement System, Springfield, terminated two domestic equity managers.
During a meeting Tuesday, trustees approved removal of OakBrook Investments' $174 million active U.S. large-cap value equity allocation from the pension fund's $4.7 billion U.S. large-cap stock portfolio on the recommendation of Bill Thomas, investment officer-equities for the $45.6 billion pension fund.
The move is part of an ongoing consolidation of managers within TRS' domestic equity portfolio, Mr. Thomas told trustees.
Trustees also ratified the termination of Lombardia Capital Partners' $212 million active U.S. small-cap value equity portfolio. Lombardia was terminated by staff between board meetings due to performance concerns, Mr. Thomas said.
Lombardia continues to manage a $29 million active international large-cap equity portfolio. Lombardia's international mandate also is part of the pension fund's $500 million emerging managers program.
Nora Harris, managing director and Lombardia's senior client service manager, did not return a call seeking comment about the termination of the domestic equity strategy.
Separately, R. Stanley Rupnik, TRS' chief investment officer, introduced two new investment officers to the board; both joined the investment team earlier this month.
Edward Shim oversees the pension plan's $3.1 billion hedge fund portfolio. He replaces Kenneth Musick, who left earlier this year to become director of diversifying strategies at Equitrust Life Insurance Co. Mr. Shim was head of trading at Syntal Capital Partners, a family office.
Joshua Ross joined the pension fund's private equity team as part of a team expansion, Mr. Rupnik said. Mr. Ross was senior investment associate for the Ulupono Initiative, an investment program of Omidyar Network, a family office.
