Virginia Retirement System, Richmond, might increase its hedge fund allocation, currently at 3% of total assets, when the $39.8 billion system completes an asset allocation review, said Larry Kochard, managing director of public equities. The system may increase its allocation by one or two percentage points, but it couldn't have a higher allocation "due to capacity restraints," Mr. Kochard explained. The review could be completed as early as the end of May.
Separately, the system added $40 million to its hedge fund portfolio, said Nancy Everett, CIO. It committed an additional $30 million to Rock Creek Asset Management, which now runs a total of about $450 million for the system, and it committed $10 million to the Drawbridge Special Opportunities Fund, a new investment. Funding came from cash, she said.
