GLOBAL - A total of US$85bn in new institutional assets will be allocated into hedge funds in the next two years, according to a report by Private Equity Intelligence (Prequin).
The Preqin Hedge Special Report said as institutional investors worldwide have been increasing their allocations to alternatives, the hedge fund industry had been receiving more backing from investors than at any other point in the history of the asset class.
The report said the public pension plans which invested the greatest amount of capital into hedge funds included the California Public Employee’s Retirement System (CalPERS) and the San Diego County Employees Retirement Association (SDCERA).
Furthermore, it said public pension plans allocated on average, 6% of their total assets under management to hedge funds (with the ceiling being around 15%), but were keen to increase their allocation.
Amongst the top 25 hedge fund investors identified by Preqin, five were European.
The Howden Group Pension Plan has completed a full pensioner buy-in with Legal & General (L&G), insuring benefits for around 2,000 members.
Professional Pensions is looking to update its list of pensions master trusts in the UK ahead of authorisation. Can you help?
Concern about the potential impact on employer covenants has been rated the top risk for defined benefit (DB) schemes, according to a PTL survey.
Jonathan Stapleton says the DWP's progress on CDC is a welcome, and cautious, step forward.