Milwaukee County Employees' Retirement System plans to pull $17 million total from ABS Investment Management and K2 Advisors to rebalance its hedge fund allocation to a 10% target from the 11% actual share, according to the board's minutes report.
The retirement system, which oversees $1.7 billion in defined benefit assets, requested redemptions of $9.5 million from ABS, leaving it with $86.2 million, and $7.5 million from K2, leaving it with $85.7 million.
Both hedge funds of funds, the retirement system's only hedge fund allocations, allow redemptions quarterly, according to the report.
The board plans to decide in December or January how to reallocate the proceeds.
In addition, the pension fund committed $25 million to the J.P. Morgan Infrastructure Investments Fund. The retirement system expects J.P. Morgan Asset Management to call the commitment by year-end, Marian Ninneman, manager, said in an e-mail.
Marquette Associates, the pension fund's investment consultant, assisted with the changes.