Anne Arundel County Retirement and Pension System, Annapolis, Md., terminated Southeastern Asset Management from its active domestic large-cap value equity portfolio.
The $2.1 billion pension fund's board approved the termination due to underperformance at its Nov. 15 meeting, recently released meeting minutes show.
Assets from the termination were allocated to existing active domestic large-cap value equity manager Westwood Holdings Group, which received $50 million, and existing passive domestic large-cap equity manager State Street Global Advisors received an undisclosed amount, with the remainder going to cash, according to the minutes.
The size of the Southeastern portfolio was not provided in the minutes. As of Dec. 31, the Westwood and SSGA portfolios had $141 million and $173 million in assets in the plan, respectively, according to the most recent available investment report. The Southeastern portfolio was almost entirely liquidated by that date, with less than $1 million in assets in the plan.
O. Mason Hawkins, chairman of Southeastern Asset Management, could not be immediately reached for comment.
As of Dec. 31, the pension fund's actual allocation to domestic equities was 28%; the target is 31%.
Investment consultant NEPC assisted.
Anne Budowski, the county's chief personnel officer and member of the pension fund's board of trustees, could not be immediately reached for further information.