Pennsylvania State Employees Retirement System, Harrisburg, issued an RFP for an alternative investment consulting firm, confirmed Robert Gentzel, spokesman. The $32 billion system has 13.2% of its assets in alternatives. Its contract with current alternatives consultant Cambridge Associates will expire on April 30, 2008; Cambridge can rebid, Mr. Gentzel said. Proposals are due May 4; the RFP can be downloaded at http://www.dgsweb.state.pa.us/comod/bids/sersrfp200701.pdf.
City of Sunrise (Fla.) Firefighters Pension Fund has issued an RFP for an active domestic midcap equity manager to run $6 million. Dahab Associates Greg McNeillie, the funds investment consultant, said the $63 million pension fund will reduce its large-cap equity exposure to fund the new midcap portfolio. No managers will be terminated, he said. Responses are due by May 4. The RFP is available at www.dahab.com/Sunrise-MC-05_04_07-RFP.doc. A call to fund trustee Pauline Testagrose was referred to Mr. McNeillie.
Public Employees Retirement System of Mississippi, Jackson, will add allocations of 5% each to private equity and absolute return strategies for the first time, and also plans to expand its timber allocation, which is part of the current real estate allocation. Funding will come from U.S. equities, domestic fixed income and cash. The changes are reflected in RFPs the $20.6 billion fund had issued for a general investment consultant and an alternative investments consultant. That search is now closed; the board plans to make both selections April 24. The new asset allocation will be 43% domestic equities, 24% fixed income, 16% international equities, 7% real estate, and 5% each in private equity and absolute return. The existing allocations are 51% domestic equities, 22% each in international equities and domestic fixed income, 4% real estate and 1% cash. Callan Associates is the current general investment consultant for the fund. Pat Robertson, PERS executive director, did not return calls seeking information on the selection process. Mary Schaefer, a spokeswoman with Callan, said the firm rebid.
Alameda County Employees Retirement Association, Oakland, Calif., has approved a new emerging managers program, confirmed Betty Tse, chief investment officer. The $5.2 billion fund will dole out a total of 1%, or $52 million, to managers with less than $2 billion in assets under management, she said. Staff at the fund will recommend a structure to the board within the next three to six months detailing how many managers it will choose, whether to use a manager of managers or those specializing in particular asset classes, among other details, she said.
Orange County Employees Retirement System, Santa Ana, Calif. increased its absolute-return allocation to 7% from 5%, which will result in a search, said Keith Bozarth, chief executive officer of the $7.3 billion fund. Funding will come from reducing the funds international bond exposure by two percentage points to 8%. Separately, the board decided to search for the systems first cash overlay manager. Further details have not been determined, Mr. Bozarth said.