The Illinois State Board of Investments is pouring more of its money into hedge funds—but that hasn't helped two of its now-former managers.
The $13.4 billion public pension fund increased its hedge-fund allocation to 10%, Pensions & Investments reports. At the same time, it's parted ways with two hedge funds due to performance issues.
ISBI terminated Credo Capital Management and IronBridge Capital Management, according to P&I. The two firms managed more than $150 million for the pension.
That money was turned over to three funds of hedge funds, Entrust Partners, Mesirow Advanced Strategies and Rock Creek Group. Entrust's allocation rose from $411 million to $502 million, Rock Creek's from $425 million to $502 million and Mesirow's from $271 million to $335 million.