Jacksonville (Fla.) City Retirement System hired Wellington Management to run between $115 million and $130 million in active domestic large-cap value equities.
The $2.3 billion pension fund's board approved the hiring at its March 23 meeting, said Brennan Merrell, senior investment officer, in an email.
The pension fund conducted a search because staff and investment consultant RVK decided that existing large-cap value manager Eagle Capital Management's portfolio had recently tilted to more of a core portfolio than value, Mr. Merrell said.
Funding will come from reductions in the Eagle Capital portfolio, which had $195 million in assets as of Feb. 28; a passive domestic large-cap core equity portfolio managed by Mellon Investments, which had $203 million; and an active domestic large-cap growth equity portfolio managed by Loomis Sayles & Co., which had $166 million in assets. The exact amounts of the reductions have yet to be determined.
As of Feb. 28, the actual allocation to domestic equities was 34%; the target is 30%.
RVK assisted with the search.