Miami Beach (Fla.) Fire & Police Pension Fund made commitments and investments totaling $60 million, said John McCann, senior consultant at AndCo Consulting, the pension fund's investment consultant.
The $934 million pension fund's board at its Aug. 6 meeting approved a commitment of $50 million to JPMCB Special Situation Property Fund, a value-added real estate fund managed by J.P. Morgan Asset Management, and a direct hedge fund investment of $10 million in Grosvenor Institutional Partners, managed by GCM Grosvenor, Mr. McCann said.
According to the Aug. 6 meeting minutes, the board at its July meeting discussed incorporating hedge funds and value-added real estate in its portfolio in an attempt to "generate additional return for the downturn that is likely to happen in fixed income."
Further information on whether changes in target allocations had been adopted could not be immediately learned.
As of June 30, the pension fund did not have any hedge fund investments, and its actual allocation to real estate was 10.6%, above its 10% target.
AndCo Consulting assisted.
