Chicago Transit Authority's Retirement Plan for CTA Employees hired hedge fund-of-funds firms Attucks Asset Management, Lyster Watson and BlackRock as well as Deerfield Capital Management and two other hedge fund firms to run a combined $65 million in the plan's first allocation to hedge funds, said Andrew Kelsen, director of alternative investments at plan consultant Gray & Co. Mr. Kelsen would not identify the two hedge funds, and he declined to say how much each firm would run for the $1.2 billion system.
Funding will come from a general rebalancing of plan assets and no managers will be terminated, according to Mr. Kelsen. Gray & Co. conducted the shortlist search at the direction of the plan's investment committee.
John Kallianis, executive director of the retirement system, referred questions to Mr. Kelsen.
