Los Angeles City Employees’ Retirement System (LACERS) intends to invest up to $210m (€185.1m) in real estate funds in fiscal 2021 and will continue to rebalance its core holdings in open-ended real estate funds to help improve returns.
The pension fund’s real estate consultant said in a meeting document that for the fiscal 2021 year beginning in July, LACERS could invest between $30m to $70m in one of its existing core fund managers.
LACERS is also expected to assess its existing $572.4m core portfolio during the period to help rebalance the open-ended portfolio segment of the assets to help improve the portfolio’s overall diversification and returns.
The pension fund’s open-ended portfolio includes investments in Jamestown Premier Property Fund, JP Morgan Strategic Property Fund, Lion Industrial Trust, Morgan Stanley Prime Property Fund and the Principal US Property Account.
LACERS is expected to invest up to $140m in the non-core sector via blind pool funds which target distress and thematic investments arising from the current economic and health crisis’s impact on the real estate sector.
The pension fund will mostly target strategies investing in apartments and industrial assets.
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