Arizona Public Safety Personnel Retirement System, Phoenix, added a 21% international equity allocation and a 2% hybrid allocation, said James Hacking, executive director of the $6.7 billion system. The bulk of the funding comes from reducing the funds domestic equity allocation to 44% of assets from 65%. Mr. Hacking said there are no plans to search for managers, but further details might be available after the funds next meeting in late March. The restructuring is the result of an asset allocation study conducted by Ennis Knupp and adopted at the systems board of trustees meeting on Wednesday.
The rest of the funds assets were allocated as follows: 20% domestic fixed income, unchanged; 6% private equity and 6% real estate, up from 5% each; and 1% cash, down from 5%.
Separately, the board committed up to $3 million to private equity fund Valley Ventures III, pending contract negotiations.