Chicago Park Employees Annuity & Benefit Fund added private equity as an asset class and will increase its real estate and non-U.S. equity investments as it implements a new asset allocation, said Joseph Fratto, executive director. The $570 million plan will allocate 5% of total assets to private equity and raise its real estate allocation to 10% from 5%, probably putting the additional money in equity real estate, Mr. Fratto said. The non-U.S. equity allocation went up to 12% from 7%. The plans domestic equity allocation was cut to 38% from 43%, and fixed income was reduced to 35% from 45%.
Consultant Ennis Knupp conducted the asset allocation review.
Separately, trustees decided not to invest in hedge funds, Mr. Fratto said.