The Illinois Municipal Retirement Fund (IMRF) is increasing its real estate allocation from 8% to 9%, it has confirmed to IPE Real Assets.
The increase has taken place despite the $41.3bn (€33.2bn) pension fund being below its previous target. At the end of 2017, IMRF had $2.2bn invested in real estate, or 5.3% of total assets.
But the pension fund recently made more than $600m of commitments to real estate funds, which might not have been reflected in the end-of-year figures.
They include commitments to Ares European Real Estate Fund V, Barings European Core Property Fund, Buckhead Properties, Artemis Real Estate Partners Fund III, Heitman America Real Estate Trust, and JP Morgan Strategic Property Fund.
IMRF is also planning to increase its investment programme that focuses on real estate managers owned by minorities or women.
The size of the programme, which is managed both in-house and by Artemis Real Estate Partners, is currently valued at $517m, or 14% of the real estate portfolio.
The increase in IMRF’s real estate exposure is part of wider asset allocation changes that will also see its international equities rise, while US equities, fixed income and other alternatives will be reduced.
- American Investors
- Ares European Real Estate Fund V
- Artemis Real Estate Partners Fund III
- Asian Investors
- Barings European Core Property Fund
- Buckhead Properties
- European Investors
- Heitman America Real Estate Trust
- Illinois Municipal Retirement Fund
- Investment Strategies
- Investment Vehicles
- J.P. Morgan Strategic Property Fund
- Pension Funds
- Real Estate
- US Investors