Alameda County Employees’ Retirement Association (ACERA) intends to invest up to $175m (€154m) in real estate in 2019 and is broadening its strategy to include debt and international markets.

The $8.1bn pension fund said in a board meeting report that up to 15% of its real estate allocation can now include foreign assets and debt investments.

According to Callan, ACERA’s investment consultant, the move will provide geographical diversification and additional means of gaining real estate exposure.

In 2019, ACERA plans to invest up to $100m in core and core-plus real estate, and up to $75m in value-add and opportunistic real estate.

Callan has recommended that, if appropriate value-add and opportunistic opportunities are not found, ACERA should invest all of the capital in core and core-plus real estate.

In the first quarter of the year, ACERA’s real estate portfolio was valued at $514m, representing 6.33% of its total assets, below its target allocation of 8%.