Alternatives
Allocations to illiquid asset classes will provide university portfolios with stronger returns relative to public equity or bond markets over the long term, despite liquidity or spending squeezes in the short term.
The institution temporarily paused making investments in illiquid assets in the first quarter after reviewing its investment policy and guidelines, where concerns about private equity investing and not having an updated five-year strategic plan were made.
The retirement system is looking to hire long volatility and global macro managers after increasing its target allocation to the crisis risk offset portfolio.
The retirement system approved three alternatives commitments at its meeting last week.
The $50 million in total commitments is subject to board approval next week.
The fund received a total of six bids in its private markets consultant search.
The pension plan approved two commitments to private equity and real estate at a meeting today.
The firm has sold its stake in a private equity manager, which has seen its assets under management quadruple to approximately $20 billion over the last seven years.
The retirement system also made two credit opportunities commitments last month.
A private equity firm focused on the manufacturing and industrial sectors has raised a second fund with commitments from endowments, family offices and outsourced cios.