Connecticut Retirement Plans and Trust Funds has paused new real estate commitments for the remainder of the year.
The pension fund disclosed in a board meeting document that the suspension will allow previously committed capital to be drawn down while enabling the pension fund to complete ongoing disposals and open-ended fund redemptions.
According to a meeting document, the pension fund has approved $600m (€517.3m) across three commitments so far this year and plans to restart deployment in 2027 with a $450m allocation plan.
Next year’s investment plan will include a focus on reallocating capital away from underperforming and low-conviction strategies, including potential redemptions from open-ended funds.
Connecticut Retirement’s real estate portfolio is currently valued at $4.4bn. The portfolio remains slightly overweight to core strategies at 48% against a 45% policy target, while non-core strategies account for 52% against a 55% target.
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