UNITED STATES - The Ohio Public Employees Retirement System has decided to pull $50m (€41m) from the UBS Trumbull Property fund and $175m from the JP Morgan Strategic Property Fund.

In a board document, it said the moves were part of plans to re-balance its real estate portfolio and shift from core to non-core assets.

This is the second time in just over three months that Ohio PERS has moved capital out of the Trumbull Property fund. 

At the scheme's April board meeting, a decision was made to remove $300m from the commingled fund.

This commitment had been in the pension fund's real estate portfolio since January 2010. 

Ohio PERS had stated at the board meeting that the return on the investment was projected at 29.9% over a 24-month timeframe that ended at the end of last year.

According to the scheme's 2012 real estate investment plan, it is aiming to reduce its exposure in the core sector and increase the capital investing for value-add and opportunistic investments.

Ohio PERS is now looking to make a possible $200m in a closed-end fund that invests in mortgage servicing rights acquired from banks and other financial institutions. 

The pension fund is in the middle of the legal review process on the investment.

According to Ohio PERS' 17 July board meeting, the scheme has now invested 9.7% of its total plan assets for real estate, through the end of June. 

The targeted allocation for the asset class is 10%.

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