Connecticut Retirement Plans & Trust Funds, Hartford, is searching for a hedge fund-of-funds manager to run about $1 billion for the $36 billion pension plan.
The search is being conducted because the target allocation to hedge funds has been reduced to 2.8% from 7%, confirmed Gabrielle Farrell, spokeswoman for Shawn T. Wooden, state treasurer and principal fiduciary of the state pension plan.
Funding will come from redeeming its positions with its three current hedge fund-of-funds managers: Rock Creek Group, which currently manages $1.2 billion; Franklin Templeton's hedge fund-of-funds unit, K2 Advisors, $1 billion; and Appomattox Advisory, $155 million. All three managers are welcome to bid.
The RFP is scheduled to be available on the state treasurers' website. Proposals are due by Sept. 25. A final selection is expected in November.