San Mateo County Employees' Retirement Association, Redwood City, Calif., hired Cushing Asset Management to run $80 million in a master limited partnership.
The assets will be placed in the Cushing MLP Alpha Total Return Strategy.
Half of the allocation will be funded from Treasury inflation-protected securities and 50% from liquid real assets. Brown Brothers Harriman managed about $88 million in a TIPS portfolio as of June 30 and State Street Global Advisors managed about $263 million in a custom liquid real assets strategy.
An announcement on the $4.3 billion pension fund's website said the action was approved at the board's July 24 meeting.
As of Dec. 31, the pension fund had an asset allocation of 22.9% U.S. equity, 21.5% fixed income, 20% international equity, 7.3% risk parity, 7.1% real estate, 6.1% liquid pool, 6% hedge funds, 5.7% private equity, 1.9% TIPS, 1.4% private real assets, and the remainder in cash.
Michael Coultrip, chief investment officer, could not be reached for additional information.