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.
The other finalists were Brandes Investment Partners and LSV Asset Management.
As of Feb. 28, the actual allocation to domestic equities was 34%; the target is 30%.
RVK assisted with the search.
