Oakland (Calif.) Police and Fire Retirement System is searching for a real-return manager to run $40 million to $50 million, confirmed David Sancewich, principal at Pension Consulting Alliance, investment consultant to the pension plan.
The $468 million pension fund will accept proposals for commingled funds, managed accounts, partnership interests and fund of funds in a number of different categories —inflation-linked government bonds, hedge funds, commodities, infrastructure, currencies and other inflation-related assets, according to the request for information document.
The pension plan does not currently have any investments in real-return strategies. Funding is coming from cash.
The RFI is available on PCA's website. Proposals are due at 5 p.m. PDT Aug. 29. A hiring decision is expected in October, Mr. Sancewich said in an e-mail.
Separately, the pension plan hired Parametric Portfolio Associates to run $45 million to $50 million in the plan's first covered-calls investment. No managers were terminated to fund the allocation, Mr. Sancewich said.
The covered-calls and real-return searches are the result of an asset-liability study last year.
Also, the pension plan hired Northern Trust as global custodian. Northern Trust replaces BNY Mellon.