Phoenix Employees' Deferred Compensation Board placed Metropolitan West Asset Management on watch due to organizational changes.
The board for the city's 457 and 401(a) plans placed the TCW Group subsidiary on watch at its Nov. 15 meeting due to the announcement earlier this year that Tad Rivelle, TCW's CIO of fixed income, would be retiring at the end of 2021, said Scott N. Steventon, the city's retirement programs administrator.
The board offers the Metropolitan West Total Return Bond Fund as an investment option in the city's $2 billion 457 plan and $750 million 401(a) plan.
The bond fund has $66 million and $20 million in assets, respectively, in the two plans.
Nationwide Financial is the plans' record keeper.
Mr. Rivelle is also one of four generalist fixed-income portfolio managers at TCW Group. Two other portfolio managers, Steve Kane and Bryan Whalen, will replace Mr. Rivelle as co-CIOs.
Investment consultant Hyas Group is assisting. The consultant said in a summary that given the significance of Mr. Rivelle's impending departure, "we believe it is prudent to place the strategy on watch for a time to observe whether the changes have any negative impact."
