Asset Study/Review
The fund approved a new long-term strategic asset allocation for its endowments, increasing its private equity target 5% to raise expected returns and leverage the unique cash flow attributes of the portfolios.
The new fiscal year 2024 asset allocation policy will increase the fixed-income targets for four of the plan’s systems.
The system will introduce a target to rebalancing leverage as part of a new long-term asset allocation policy for its defined benefit plans and hired a record keeper on behalf of its eight defined contribution plans yesterday.
The review may lead to replacement searches for two incumbent managers.
The fund will consider new 2024 fiscal year strategic asset allocations that would increase its allocations to private equity and directional hedge funds, among other asset classes.
The plan hired a manager to implement its maiden 3% target to private debt as part of a new asset allocation policy in March.
The new asset allocation includes slight increases to several portfolios.
The fund approved a revision to its investment policy statement to lift its prohibition of privately placed securities as requested by one its international large-cap equity managers and recommended by its general investment consultant.
The fund is expected to notify one of its managers of its placement on the state’s initial list of 13 financial institutions that are banned from state contracts due to their boycotts of fossil fuel companies or failure to reply to a questionnaire.
The university will transition to a new core investment menu in early June for its defined contribution plan, 403(b) plan and student employee retirement plans with a sole administrator handling oversight.
