Daytona Beach (Fla.) Police & Fire Pension Fund hired U.S. Bancorp to manage about $5 million in a REIT, said Nick Schiess, plan administrator with Pension Resource Center, the $98 million pension fund's third-party administrator. Apart from "a tiny bit" of direct real estate, the REIT is the fund's only alternative investment in its overall portfolio. Funding will come from reducing equity allocations, said Mr. Schiess. James C. Maniak, Daytona Beach director-finance, referred questions to Pension Resource Center.
The plan's remaining asset allocation is 59% domestic equity, 31% fixed income and 5% international equity. Milliman USA assisted.