GLOBAL - The Teacher Retirement System of Oklahoma is planning to invest $425m (€324.1m) into a core, open-ended commingled fund strategy.

The investment - the fund's first into the asset class - will represent 5% of the total assets earmarked for real estate.

Pension fund officials said they would target investments the board could "understand and grasp". 

Oklahoma Teachers has narrowed its search down to four finalists: AEW Core Property Trust, JP Morgan Strategic Property Fund, Heitman America Property Trust and L&B Core Income Partners.

The pension fund is now in the due diligence stage - in the coming weeks, it will visit each manager to discuss their respective commingled funds.

Each manager will then make a presentation before the pension fund at its 25 August board meeting, when a final decision will be made.

Pension fund officials said they were likely to select more than two managers for the allocation.