Colorado Public Employees Retirement Association, Denver, will allocate up to 1% of its $41 billion in total assets to a long-duration bond portfolio as a new asset class to be managed internally, said Katie Kaufmanis, spokeswoman. Funding will be done gradually from future bond allocations or cash, and portfolios of current managers will not be reduced or eliminated, Ms. Kaufmanis said. The firm’s overall fixed-income allocation was 23.5% of assets as of Dec. 31.
“Our plan liabilities are long term in nature and have some characteristics that are similar to long-term bonds,” Ms. Kaufmanis said. “In addition to our current core fixed-income investing, we will now have a small mandate with a longer fixed-income duration.”
