UK - Wellington Management International has lost a £160m equity mandate with the £3.6bn Merseyside Pension Fund due to performance-related issues.
Peter Wallach, compliance and strategy manager of the £3.6bn fund, said Wellington was dropped due to the poor performance of the Wellington-managed pan-European equity portfolio, and also a decision by the fund to change its asset allocation.
JPMorgan Asset Management has subsequently been awarded a mandate of £100m to be invested in European ex-UK equities. The other £60m has been put into UK alternatives, in a move to diversify.
Wellington declined to comment on the news.
The funds current asset allocation stands roughly as follows following the move: UK equities, 31%; European equities 9%; North American equities, 8%; Japanese equities 3%; Pacific ex-Japan equities, 2.5%; Emerging markets equities, 2.5%; bonds, 26%; alternatives, 18%.
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