Illinois Firefighters' Pension Investment Fund, Lombard, hired Principal Global Investors to manage about $210 million in an open-end real estate strategy.
The pension fund’s board approved the hiring at its Aug. 20 meeting, said William R. Atwood, executive director.
FPIF was created by a law signed in December 2019 by Illinois Gov. J.B. Pritzker consolidating about 296 downstate and suburban firefighter pension funds.
The law calls for the transfer of investment authority for the municipal pension funds to the Firefighters' Pension Investment Fund no later than June 30, 2022. Initial estimates show the fund will consolidate about $6.3 billion in assets.
Earlier this year, the FPIF board created its first investment policy, which calls for both its interim and long-term target to real estate to be 5%.
Investment consultant Marquette Associates assisted.