Credit/Private Debt
The plan will look to add private credit, re-establish its private equity portfolio, add complementary real estate strategies and evaluate its domestic equity portfolio this year.
Plan has launched a private credit RFP intended to fill a maiden allocation to the asset class.
As nonprofit investors expect market volatility to continue, with the possibility of an economic recession on the horizon, many are seeking early-stage private equity, private debt, real estate, infrastructure or hedge fund strategies to capitalize on macro trends that include a slowdown in economic growth, rising inflation, emerging technologies and demographic trends.
The university also pivoted one of its retirement plans toward fixed-income during the fourth quarter.
The plan expects to choose a private credit consultant following finalist interviews with three firms scheduled for tomorrow.
The plan will consider multi-asset credit manager recommendations in March and terminated mandates with GMO and MetLife last week.
The consultant will advise the plan’s nearly $335 million private markets portfolio.
The changes followed two separate asset/liability studies from general investment consultant Verus.
The commitments include two first time managers for the plan.
The plan is watching two absolute return managers due to concerns related to turnover and portfolio construction.