North Dakota Teachers’ Fund for Retirement, Bismarck, is conducting an asset-liability study that could result in changes in its asset allocation, said Steve Cochrane, executive director at the North Dakota State Investment Board, which oversees the fund’s investments. The teachers’ fund also may convert some of its domestic passive equity allocation, which is about $400 million, to an enhanced indexed allocation. The fund expects Watson Wyatt Worldwide, which is conducting the study, will present its findings in June.
The $1.4 billion fund typically conducts these studies every five years. It has 25% in domestic large-cap stocks, 10% in domestic small-cap stocks, 15% in international stocks, 5% in emerging market stocks, 18% in domestic fixed income, 5% in high-yield bonds, 5% in international fixed income, 10% in real estate, 5% in private equity and 2% in cash.
