Santa Barbara County (Calif.) Employees' Retirement System increased its allocations to global equities, private equity, real estate and real return and cut fixed income in a new three-year evolving asset allocation, Eli Martinez, investment officer for the $1.89 billion system, said in an e-mail.
The new policy increases global equity by four percentage points to 59%; private equity by three percentage points to 8%; real estate by four percentage points to 8%; and real return by five percentage points to 9%. Fixed income was cut in half to 15% from 30%, while cash was cut to 1% from 2%.
It has not yet been determined whether the new allocation will result in manager searches, stated Mr. Martinez.
The board also adopted the MSCI ACW Investible Market index for its global equity to set its global equity weightings. It also instructed staff and consultant PCA to create a rebalancing plan for board review this month.
Separately, the system authorized PCA to prepare an RFI to search for a firm to provide transaction cost analysis services and a list of recommended candidates to the board's Oct. 26 meeting, he stated.