Chicago Park Employees' Annuity & Benefit Fund hired Garcia Hamilton & Associates and Loop Capital Partners to run a total of about $64 million in fixed-income portfolios.
The $370 million pension fund issued four RFPs in May for Minority, Women and Disadvantaged Business Enterprise managers to manage four different fixed-income portfolios.
At its Sept. 21 meeting, the board voted to hire Garcia Hamilton & Associates to run about $13 million in short-duration Treasury inflation-protected securities, $12 million in domestic core investment-grade fixed income and $10 million in long-duration U.S. government fixed income, and Loop Capital to run about $17 million in domestic short-duration investment-grade fixed income and $12 million in domestic core investment-grade fixed income, recently released meeting minutes show.
The other finalist was CFI Partners.
According to the minutes, funding comes from existing core-plus fixed-income manager MacKay Shields, which had $23 million in its portfolio as of June 30, and LM Capital, which had $24 million in its investment-grade fixed-income portfolio as of that date.
The minutes did not provide further information. Executive Director Steve Swanson could not be immediately reached for further information.
As of June 30, the actual allocation to risk-mitigating strategies was 23.3%; the target is 18%.
Investment consultant Meketa Investment Group assisted.