TRS invests in PE, eyes opportunistic real estate

The $30 billion Teachers’ Retirement System of the State of Illinois (TRS) will commit up to $1.2 billion to private equity, and will focus on opportunistic investments in real estate including emerging manager initiatives, as it aims to reach its new long-term allocations in those sectors by year end.

In real estate, where there is also a search underway for a consultant, the fund has a new strategic target of 14 per cent.

In private equity the new allocation will see an increase from 8 to 10 per cent of the fund, and the board has approved a tactical plan for the fiscal year that calls for commitments of between $700 million and $1.2 billion during the next year.

TRS hired an alternative investments officer, Zak Doehla, in June who will oversee the private equity portfolio which includes nearly 70 private equity relationships.

The fund has undergone a number of organisational changes, with a new law enacted in the summer which terminated the employment of TRS executive director, Jon Bauman, a provision that the fund was not consulted about in the final days before the law was approved.

Sponsored Content

The chief investment officer, Stan Rupnik, is acting exective director and there is a search underway for a permanent executive director under search firm, Hudepohl & Associates.

That law also saw the termination of three trustees, and six new trustees have been appointed.

The fund is also looking for a global macro and global large cap manager.

Leave a Comment

Sort content by

The cult of transparency has a price

You have to feel sorry for the investment professionals at large public sector pension funds around the world. They must pay a big price for the transparency of their funds.mrec4inarticleinline Sponsored Content scnative1 scnative2 scnative3

Endowment investing in the post-crisis world

Like most asset allocation strategies, the ‘endowment model’ for investing was challenged by the financial crisis and its practitioners have learnt lessons from the episode, according to Sandra Urie, CEO at Cambridge Associates, an asset consultant with deep experience in the field.mrec4inarticleinline Sponsored Content scnative1 scnative2 scnative3

Hang the expense: Norwegian fund chases Spanish alpha

The Norwegian Government Pension Fund has outsourced the management of its Spanish equities to one of the country’s top-performing managers.mrec4inarticleinline Sponsored Content scnative1 scnative2 scnative3

Indonesia pips China in emerging markets equity race

In Asia’s emerging markets  equities race, China is the fastest growing by size, but Indonesia has ranked first in growth in both the past five and 10 years.mrec4inarticleinline Sponsored Content scnative1 scnative2 scnative3

US providers face tough disclosure laws from July

Service providers in the US will be required to disclose any direct and indirect compensation to plan fiduciaries from July 16, 2011, under new regulations issued by the Department of Labour.mrec4inarticleinline Sponsored Content scnative1 scnative2 scnative3

Korea and Abu Dhabi funds signal future co-investments

The South Korean Government has teamed with Abu Dhabi’s largest sovereign wealth fund, the $627 billion Abu Dhabi Investment Authority (ADIA), to jointly pursue future investment opportunities.mrec4inarticleinline Sponsored Content scnative1 scnative2 scnative3

Previous