San Antonio Fire & Police Pension Fund allocated $40 million to three hedge funds and approved the conducting of two investment manager searches, recently released minutes show.
At its Feb. 26 meeting, the $3.3 billion pension fund’s board approved the hiring of Graham Capital Management to run $20 million in its absolute return fund. The board also approved allocating an additional $10 million each to two of its existing equity long-short funds, Samlyn Capital and Southpoint Capital Advisors.
Also at the meeting, the board approved conducting a search for a venture capital fund-of-funds and secondaries manager to run $40 million and an emerging markets equities manager.
Acadian Asset Management is the current emerging markets manager, but it has not outperformed its 15-year benchmark.
The pension plan had a target allocation of 15% to hedge funds/risk parity and 6% to emerging markets equities as of Dec. 31, 2018.
No further information on the searches, including a time frame for beginning the search or making selections, was provided.
Cary Hally, chief investment officer, could not immediately be reached to provide further information.