Ohio Public Employees Retirement System, Columbus, will search for a hedge fund consultant in the fourth quarter or the first quarter of next year to help the $65.7 million system implement its new hedge fund investment policy, spokeswoman Julie Graham-Price confirmed in an e-mail response to questions.
In May, the system’s board revised its asset allocation, changing it to 3% to hedge funds and 2% to opportunistic funds, from 3% to opportunistic hedge funds.
The board on July 21 approved a tentative funding schedule for hedge funds, which will include the hedge fund consultant search as well as staff recommendations of hedge fund-of-funds managers in the fourth quarter and multistrategy and single-strategy managers throughout 2011.
The board estimates up to 23 managers could ultimately be hired to run up to a total of $2 billion: as many as three fund-of-funds managers to each handle between $267 million and $400 million; up to four multistrategy managers, between $100 million and $200 million each; and up to four managers each in equity hedge, event driven, relative value and macro/tactical, with each selected firm running between $50 million and $100 million each.
