New Mexico Public Employees Retirement Association, Santa Fe, plans to reissue an RFP on Jan. 5 for a manager to run a $100 million to $200 million listed infrastructure portfolio, said Jonathan Grabel, chief investment officer for the $14.4 billion pension plan.
Pension fund officials originally issued the RFP in May, asking respondents to keep their proposals for 180 days, which has elapsed. In the meantime, pension officials clarified the scope of work and included a requirement that managers minimize investments in master limited partnerships because the pension plan has a separate MLP allocation, Mr. Grabel said.
Responses are expected to be due Feb. 2. A date for a hiring decision has not been determined.
Separately, the investment committee voted to recommend to the board to commit up to $150 million to Passport Fund I, an emerging markets private equity fund of one managed by Pine Brook Partners, and up to $70 Million to Quadrant Enhanced Debt Fund, a real estate debt fund managed Quadrant Real Estate Advisors. It has not been determined when the full board will vote on the commitments.
The Pine Brook fund of one is designed to identify and invest in small- to medium-sized private equity funds in emerging markets. Both Pine Brook and Quadrant are new relationships.
The investment committee at its Tuesday meeting also reviewed the $3.9 billion core and global fixed-income portfolio, which returned 2.25% for the year ended Sept. 30, compared to the benchmark return of 1.95%. The tracking error was reduced to 0.6% as of Sept. 30 from 1.5% as of Sept. 30, 2014, and the portfolio’s risk was reduced to 3.1% as of Sept. 30 from 3.9% a year earlier.
