Colorado Pistol & Hose Dumps Fairfield Greenwich, Hires GAM

Jun 3 2008 | 10:47am ET

The $3.4 billion Fire & Police Pension Association of Colorado has hired GAM to manage a $57 million low volatility mandate, replacing Fairfield Greenwich Group, which was terminated due to performance and organizational reasons.

The plan is investing in GAM’s MultiDiversified LV, which launched in January. Half of Multi-Diversified’s portfolio is weighted towards arbitrage strategies and the balance is split between equity hedge and trading stratregies. The plan’s other fund-of-funds manager is Gottex Fund Management, which handles $110 million.

Colorado, which uses funds of hedge funds in its portable alpha program, could add a third fund of hedge funds shop to the mix now that Fairfield is out of the picture, according to a source familiar with the plan’s funding. The plan has another $75 million to allocate to its existing and/or new fund of hedge funds shops.

The plan is also investigating the direct hedge fund route but the source said it is not jumping into single-strategy hedge funds anytime soon because it does not have the manpower to monitor underlying managers.

Currently, 5% of the plans’ total portfolio is dedicated to its portable alpha program. Pension Consulting Alliance is its consultant.


In Depth

GSAM's Papagiannis: Liquid Alternatives For The Long Run

Apr 21 2017 | 8:44pm ET

Interest in liquid alternatives cooled a bit last year amid a broad shift in investor...

Lifestyle

Aston Martin Returns To Debt Market As DB11 Drives Turnaround

Mar 31 2017 | 5:21pm ET

James Bond’s preferred carmaker is returning to the public debt markets for the...

Guest Contributor

Debunking Conventional Investment Wisdom (Part II)

Apr 17 2017 | 5:56pm ET

The alternative investment industry is currently replete with buzzwords around data...

 

From the current issue of