New York State Teachers’ Retirement System, Albany, combined its 1% emerging markets allocation with its 9% international equity allocation.
The board for the $81 billion system now will allow non-U.S. equity managers to use emerging markets equities opportunistically in existing portfolios by raising their maximum allowable exposure to 20% of each portfolio from 10%.
Emerging markets equity manager Capital International was terminated.
The board also shifted the international equity targets to 70% active, 30% passive. The system will invest in two enhanced indexed international equity funds of up to $500 million, according to meeting minutes. Dave Daly, system spokesman, could not be reached for comment by deadline.
Also, the system committed up to $50 million to Essex Apartment Value Fund and made commitments to three private equity partnerships: The Third Cinven Fund, up to $128 million; CB Richard Ellis Strategic Partners II, up to $60 million; and Lone Star Fund IV (U.S.), up to $200 million. Funding will come from the private equity program.
