Northwestern Memorial Hospital, Chicago, will evaluate the asset allocation for its $1.3 billion in trust funds in December, said Thomas M. Satkus Jr., assistant treasurer. The staff, using Watson Wyatt models, has been developing scenarios for trustees to consider. He declined to give details.
The current allocation is 42.5% domestic equity, 14.5% international equity, 25% fixed income and 18% alternatives. The alternatives allocation consists of 6 percentage points in venture capital, 6 points in other private equity, and 6 points split among hedge funds, absolute-return strategies and opportunistic strategies, including distressed debt, real estate equity, oil and gas, and deep value investments.
The hospitals $286 million pension fund, $520 million hospital capital fund, $364 million foundation fund and $130 million self-insurance fund are pooled for investing.