New Mexico State Investment Council, Santa Fe, added a new 10% real return allocation and doubled its allocation to core real estate to 10% as part of a new target asset allocation adopted Tuesday, said Charles Wollmann, director of communications for the $15.5 billion council.
The council’s absolute-return allocation was also increased to 8% from 5%.
Its allocation to U.S. equities was cut to 31% from 45%, and fixed income was trimmed to 16% from 20%. The international equity allocation was kept at 15% and private equity remains at 10%.
The switch to the new target is scheduled for next year, subject to increases in the council’s investment staff.
Fund officials expect to launch some RFPs “in coming months,” Mr. Wollmann said. Specifics on those RFPs have not been determined.
General consultant R.V. Kuhns assisted.
Separately, the council issued an RFP for a firm to provide internal audit services. The selected firm would assist the council’s audit committee, which ensures the council complies with securities laws and institutional investor best practices, among other things.
“Moss Adams is the current auditor, and has been for several years. While there are no concerns there, the nature of this work requires we change auditors periodically, so they will not be bidding,” Mr. Wollmann stated in an e-mailed response to questions.
Responses are due Aug. 1 with a selection expected as early as Aug. 16.