Alternatives
The plan also approved a recommendation to exit its midstream energy allocation.
The pension plan disclosed more than $500 million in private markets commitments made in recent months.
The retirement system also added two private credit commitments in the third quarter.
Heavy concerns about market volatility and political risks have led endowments and foundations to increase their allocations to private markets programs and diversify their portfolios in response, a new study finds.
The foundation added public equity and real assets managers to its approximately $1.1 billion investment portfolio over the course of the last fiscal year.
The plan issued an RFP seeking one or more private markets consultants.
The recommended core bond hire represents “one of the final steps in realizing the restructuring of KCERA’s overall fixed income portfolio” from 2023.
The largest university and college endowments experienced double-digit gains in two consecutive years drive by a return to long-term trends like large private equity allocations.
The university also liquidated fixed-income and equity strategies to fund endowment spending and university advancement payouts.
The university has increased its allocation to a Bitcoin fund in recent months.