The Maine Public Employees Retirement System (MainePERS), located in Augusta, Maine, is undertaking an asset/liability study that may lead to investments in the alternatives space including private equity, hedge funds and global real estate.
Ennis Knupp, investment consultant for the system, will deliver the study at the system’s board meeting on April 10.
Andrew Sawyer, chief investment officer for MainePERS, told PERE it is considering moving into alternatives for “risk reduction or return enhancement.”
The $11.3 billion (€7.2 billion) retirement system has five percent allocated to US core real estate and a small allocation, less than one percent, to infrastructure. It has a target allocation over the next three to four years of four percent for infrastructure, said Sawyer.
He added that the system is looking at “a broad array of alternatives” but it will take a minimum of two or three months before it gets to a point where it is setting strategic asset allocation.