Ohio Public Employees Retirement System, Columbus, is searching for four or five risk-parity managers to run a total of $350 million, confirmed spokesman Michael Pramik.
The $73 billion retirement system is looking primarily for active managers, but might possibly hire one passive manager to run $50 million, according to Mr. Pramik.
Investment consultant NEPC made the recommendation to invest in the asset class, which was approved by the system's investment committee on Tuesday.
The risk-parity investment comes from the system's allocation to opportunistic funds. The target opportunistic allocation for the defined benefit fund is 2%, and the current allocation is 0.5%.
An RFI is available on the fund's website. Responses are due at 9 a.m. EDT April 30. A timetable has not been determined but Mr. Pramik said the system hopes to have a decision made around midyear.