Zero Correlation Between Level of Public Pension Benefits, Plans’ Funded Status: Milliman

The results of Milliman’s 2018 Public Pension Funding Study (2018 PPFS), which analyzes funding levels of the nation’s 100 largest public pension plans–including an independent assessment on the expected real return of each plan’s investments–revealed no correlation between the level of benefits provided by plan sponsors and the funded status of a plan. It also …

Asset Owner Profile: David Holmgren, CIO of Hartford Healthcare

David Holmgren, CIO of Hartford HealthCare, a hospital fund with $3.3 billion in assets under management, paid a visit to Markets Group’s New York City headquarters just prior to the Thanksgiving break and chatted with Institutional Allocator Reporter Kaitlyn Mitchell. Holmgren opined on the passive versus active debate, international politics and his work-life-balance as a …

Asset Owner Spotlight: Robert “Vince” Smith, CIO, New Mexico State Investment Council

Institutional Allocator Managing Editor Leslie Kramer spoke recently with Robert “Vince” Smith, chief investment officer of the New Mexico State Investment Council (NMSIC), a sovereign wealth fund, based in Santa Fe, NM, with a $24 billion permanent endowment.  Smith shared his career trajectory leading to his current job, his passion for his work, the Council’s …

MOSERS Seeks Consultant for Illiquid Alternatives

The $8.5 billion Missouri State Employees’ Retirement System (MOSERS) has issued a request for proposals seeking a specialty consultant for illiquid alternatives. The system’s current allocation to illiquid alternatives is approximately 25% of assets, or about $2 billion, according to MOSERS’ CIO Seth Kelly. MOSERS hired a Board Investment Consultant, Verus, to fill the general …

Investment Pros Discuss the Difficulties of Allocating to Private Credit

Panelists at Markets Group’s Sixth Annual Texas Institutional Forum in Austin, Texas, last week, delved deep into the topic of private debt as an asset class. They weighed in on the difficulties in benchmarking for the asset class, allocating to the asset class and everything in between. Moderator Sylvia Owens, a senior portfolio advisor at Aksia, …

Pension, E&F Investment Pros Cautiously Optimistic on Hedge Funds

Though just five percent (or 400) of 8,000 hedge funds (HFs) are even considered investable, according to Joe Marenda, a managing director and hedge fund specialist at Cambridge Associates, “the beauty [of hedge funds] is really in the eye of the beholder—based on portfolio need,” he said. Though institutional investors are currently holding their allocations …

Investors in Alternatives Seeking Separate Accounts and Co-investments

Over the next five years, institutional investors in alternative assets will be looking to increase their investments in separate accounts and co-investments at the expense of pooled or commingled structures, for reasons of greater control and potentially lower management fees, according to a report just published by research and data firm Preqin, titled The Future …

Cybersecurity is a Bigger ESG Concern for Institutions than Climate Change, Terrorism

“Cybersecurity risk is now a board-level concern, and how companies both prepare and react – or don’t – can have long-term implications on share value,” Jennifer Peet, corporate governance director for the Office of Oregon Treasurer and the Oregon Public Employees’ Retirement Fund told IA’s Kaitlyn Mitchell. “Cybersecurity has been a growing concern for several …

Report: Worldwide Institutional RE Allocations Up

Global institutions’ target allocations to real estate are climbing, especially in Europe, the Middle East and Africa (EMEA) and the Asia Pacific (APAC), according to a report published last week by consultancy Hodes Weill & Associates and Cornell University. Yet, despite a rise in institutional confidence in the real estate sector for the first time …

Pensions Replacing Fixed Income with Alternative Credit: Gapstow

According to a report released by Gapstow Capital Partners, an investment advisor that focuses exclusively on credit, many U.S. pension funds are now beefing up their alternative credit allocations, in many cases by decreasing investment in traditional fixed income. “We saw a lot of interest in alternative credit coming at the expense of traditional fixed …