Louisiana Sheriffs' Pension & Relief Fund officials are considering increasing the Baton Rouge-based plan's hedge fund allocation to 3% of total assets from 2.5%, and might also invest in other alternatives in the fiscal year that begins in July, said Osey "Skip" McGee, executive director. The $1.3 billion fund already has $32 million invested in one hedge fund. The plan also has 5% invested in core real estate. No additional information was available on the potential increase.
Separately, the fund hired Western Asset Management to run $40 million in a domestic equity enhanced index portfolio, Mr. McGee confirmed. The fund conducted a shortlist search earlier this year, assisted by consultant Russell Investment Group. Fund officials are reducing a $175 million passive equity portfolio run by Mellon Capital to add diversification and to gain synthetic exposure, Mr. McGee said.