Non-U.S. & Global Equity
The university will consider a new target asset allocation that increases its target to developed markets equity at the expense of emerging markets equity.
The pension plan will consider hiring five non-U.S. equity managers and approving a new private equity portfolio structure this week.
The pension plan liquidated its approximately $1.9 billion global equity mandate and made commitments totaling $1.6 billion in March.
The hires conclude a search for managers to handle a $20 million allocation to the asset class.
The retirement board selected a new emerging markets equity manager following finalist interviews held last month.
The retirement system hired a firm to replace its underperforming incumbent earlier this week.
The plan will target a proposed allocation of $12 million to $18 million for pacing purposes.
The program has adopted a proposal from its state treasurer to transition the emerging markets investment option in its select plan to a fund that excludes investments in China-based companies due to ongoing geopolitical tensions and significant investment risks.
The plan terminated its emerging markets equity allocation amid a “challenging environment” for the asset class.
Pension fund staff will conduct further review the universe of active emerging markets ex-China funds as part of an expected search request later this year after the board agreed to divest its current passive allocation to the asset class from the country.
