Phoenix City Employees' Retirement System terminated Mellon Investments from its $37 million active domestic midcap value equity portfolio, said Greg Fitchet, investment officer, in an email.
The $2.6 billion pension fund's board on May 2 voted to terminate the manager due to the departure of David A. Daglio Jr., Mellon Investments' active equity CIO.
The portfolio was originally managed by Boston Co. Asset Management, which the pension fund hired in 2002. That firm was consolidated with two other money management affiliates of BNY Mellon Investment Management in 2017. Prior to the consolidation, Mr. Daglio was senior managing director and head of opportunistic value strategies at Boston Co.
Mr. Fitchet said the pension fund has yet to decide how to reallocate the assets.
Investment consultant Meketa Investment Group assisted.