Three Orlando, Fla., pension funds will search for an investment consultant in the first half of 2019, said Michele Keane, the city's pension coordinator.
The general employees, firefighters and police pension funds' boards recently extended the contract of NEPC for one final allowable year with an expiration date of Sept. 30, 2019. Ms. Keane said the pension funds originally planned to issue an RFP earlier this year, but the boards decided to allow one more extension to allow for more time to prepare the RFP. NEPC will be invited to rebid.
A timeline for the RFP and a selection date have yet to be determined. The RFP will be posted on the city procurement website.
The pension funds' target allocation is 26% core fixed income, 21% domestic large-cap equities, 15% international equities, 10% global asset allocation, 8% domestic smidcap equities, 5% each hedge funds of funds and real estate, 4% high-yield fixed income, and 3% each global fixed income and Treasury inflation-protected securities. Each pension fund has the same asset allocation.
The three pension funds have about $1.4 billion in combined assets.