Friday, 24 October 2014
Last updated 18 hours ago
Jan 29 2013 | 9:40am ET
A British public pension fund has made its first-ever hedge fund investment.
Fund of hedge funds LGT Capital Partners won the Hertfordshire County Council mandate, which is worth £280 million. Only £70 million of that can be invested in hedge funds, with the rest placed with other alternative asset classes, Bloomberg News reports.
"We didn't feel the portfolio had moved to where it needed to be," David Lloyd, head of the council's pensions committee, told Bloomberg. "We were fairly dominated by equity risk, and we thought a better balance was required."
The "diversified alternative mandate" will be funded by a reduction in Hertfordshire's stock holdings. It accounts for 11% of the pension's assets.
Pfäffikon, Switzerland-based LGT called the allocation "one of the largest mandates focused exclusively on alternative investments ever awarded by a U.K. local authority pension fund."
Sep 22 2014 | 4:15pm ET
"I tell people that everybody likes good news and so if you have good performance that’s wonderful,” explains Mike McKitish of Peddie School's endowment, “but it’s the people that want to talk about the bad news or where they drifted and how they came back and how they stayed to their discipline…” that he wants to hear from. Read more…
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