San Antonio (Texas) Fire & Police Pension Fund committed to an infrastructure fund and agreed to reallocate some capital within the pension plan, recently released board meeting minutes show.
At its April 28 meeting, the board approved a $20 million commitment to KKR Global Infrastructure Investors IV, based on the investment committee's recommendation.
The board also agreed to increase its current allocations to the Payden & Rygel and Northern Trust TIPS portfolios by $15 million each, based on the investment committee's recommendation. Funding will come from cash. The current value of the two strategies could not be learned.
In addition, the board's investment consultant, NEPC, recommended committing at least $26 million to real assets in 2021 based on the 5% allocation target. The pension plan is also expected to commit $60 million over the next two years to three different mandates within real assets.
Finally, the board is considering allocating $20 million to a U.S. small/smidcap equities manager within its emerging manager program, and selected Ballast Asset Management, Lisanti Capital, and Granite Investment Partners as finalists.
The search was launched to replace Cooke & Bieler's small-cap value equities strategy, which was moved out of the emerging manager program and into the pension fund's domestic small-cap equity portfolio in December.
Warren J. Schott, executive director, and Cary Hally, chief investment officer for the $3.9 billion pension plan, could not be immediately reached for additional information.