Vermont investment committee narrows search to real estate debt, multimanager funds

Vermont Pension Investment Committee, Montpelier, will focus on real estate debt and multimanagers funds in its ongoing search for non-core real estate managers to run up to $36 million, wrote Stephen Rauh, chairman of the investment committee, in an e-mail.

The committee, which oversees the $3.7 billion Vermont State Retirement Systems, reviewed at its Tuesday meeting 38 responses to the non-core real estate RFP issued in September.

The RFP was the result of an increase in the target to non-core real estate to 6% from 4.5% as part of the committee's annual asset allocation review.

Mr. Rauh wrote that the responses offered “products that included real estate debt, funds diversified by property type and geography, narrowly focused funds, and multimanager funds.”

Investment consultant NEPC recommended focusing on real estate debt and multimanager funds and will bring potential candidates to the committee's Dec. 17 meeting. Finalist interviews are tentatively scheduled for the Jan. 28 meeting.