Taiwan's NT$562.4 billion (US$18.7 billion) Public Service Pension Fund issued an RFP for global real estate equity and global infrastructure equity managers.
The pension fund plans on hiring two managers for each strategy to run US$150 million each, for a total of US$600 million.
A Taipei-based spokeswoman for the fund said this would be PSPF's first allocations to those asset classes, lifting the fund's allocation in alternatives asset classes to around 3% of the portfolio — with the aim of diversifying the fund's risk exposures. She declined to say whether the fund has any longer-term targets for alternatives allocations.
The spokeswoman said to apply, managers must have US$5 billion in assets under management.
The benchmark for the real estate mandates will be the FTSE EPRA/NAREIT Global index; for infrastructure, the benchmark will be the UBS Global 50/50 Infrastructure & Utilities index.
The contracts are for a five-year period. Proposals are due Sept. 1.
The RFP is available on the fund’s website.
