The Boston Globe reported that the 46-year-old Trotsky replaces Michael Travaglini, who ran the state Pension Reserves Investment Management Board for six years before he resigned in June to work for a Chicago hedge fund.
Trotsky was most recently executive director of the Massachusetts Health Care Security Trust, which he joined in March 2009, and also previously worked as a portfolio manager for Par Capital Management Inc. in Boston. He has worked for Greenberg Summit Partners in Boston and Independence Investment Associates in Boston.
Travaglini said at the time he decided to step down that he was doing so in part because of concerns the Legislature might limit compensation (see MA Pension Fund Head Quits over Efforts to Curb Bonuses).
According to the newspaper, Trotsky will be paid an annual base salary of $245,000, plus have the opportunity to earn incentive pay if the pension fund performs well.
The Globe said the board conducted a low-key job search, posting the position on its Web site and in newspapers, rather than hiring a recruiter. The search committee interviewed five candidates and narrowed the choice to two finalists, then nominated Trotsky after the other finalist dropped out.