Chicago Public School Teachers Pension & Retirement Fund placed Dimensional Fund Advisors on watch for its $151 million active international small-cap value equity portfolio, said Angela Miller-May, chief investment officer, in an email.
The $10.6 billion pension fund’s board made the decision at its Aug. 15 meeting, citing underperformance, Ms. Miller-May said. She added the underperformance was expected “as they manage a value strategy for CTPF and value is out of favor in this current market environment.” She said Dimensional is disciplined in its strategy and the pension fund will continue to monitor its performance.
Dimensional spokeswoman Carol Oscarson could not be immediately reached to provide comment.
As of March 31, the actual allocation to international equities was 30.6%.
Investment consultant Callan assisted.