CalSTRS approved investments with AQR Capital Management and Graham Capital Management, both of which will manage commodity trading adviser strategies, pension fund spokesman Ricardo Duran said Friday.
The two firms will take long-short positions depending on market conditions in equities, fixed income, commodities or currency markets.
The exact size of the investments is being negotiated, said Mr. Duran, based in West Sacramento.
He said the two managers will be part of the $187.1 billion California State Teachers’ Retirement System’s $1.2 billion risk and innovation portfolio. The portfolio, which includes hedge funds, risk-based allocation strategies, and a commodities program, has made commitments totaling $1.8 billion, but $600 million has not been funded.