Contra Costa County plans search for private real asset manager
By Kevin Olsen | December 7, 2012 1:38 pm
Contra Costa County Employees' Retirement Association, Concord, Calif., issued an RFI for a private real assets manager to run $140 million, confirmed Timothy Price, chief investment officer.
Interested managers can respond to the RFI, which is due Dec. 21, by e-mailing Milliman, the $5.6 billion pension fund's consultant, at email@example.com. Milliman will then select firms to receive an RFP, issued Jan. 8 and due Jan. 21, Mr. Price said in an e-mail.
The portfolio must be made up of durable, inflation-hedging assets, excluding private real estate, and the pension fund prefers a multistrategy structure, according to the RFI.
In March, the board voted to invest up to 5% of assets with a public-sector real asset investment manager, with a 2.5% drawdown at a later time to invest with a private-sector real asset mandate. Last week, pension fund officials interviewed Pacific Investment Management Co., Goldman Sachs Asset Management and Wellington Management for the public-sector real asset mandate. No managers have been hired yet, Mr. Price said in an e-mail.
The 5% allocation is currently held in domestic equity and real estate investments.
Proposals for the private real assets RFP will be due Jan. 21. A hiring decision is expected sometime in the first half of the year.