Illinois pension in search of infrastructure asset managers

The $10.9 billion State Universities Retirement System is looking for funds focused on core infrastructure assets to manage 1 percent of its assets. Interested parties have until 6 May to submit their proposals.

Infrastructure fund managers interested in managing about a $100 million commitment from an Illinois pension have eight days left to submit their proposals.

The $10.9 billion State Universities Retirement System (SURS) of Illinois has decided to invest 1 percent of its total assets in the asset class, which would mean about a $100 million commitment, according to a question and answer document posted on its website.   

SURS is looking for managers sponsoring a fund focused on core infrastructure assets, which are typically roads, ports, airports and other assets whose growth is highly correlated to the GDP. The pension will allocate the funds to one or two managers.

The commitment would come out of its 2 percent ‘opportunity fund’ allocation, according to the request document. Other allocations include 32 percent to domestic equity, 6 percent to private equity and 10 percent to real estate.

Responses to the request for proposals are due 6 May. Responders must be registered with the Securities Exchange Commisssion or provide a reasonable response to the contrary.

Under recent legislation signed into law by Illionois Governor Pat Quinn, Illinois public funds cannot be parties to the remuneration of placement fees.

SURS did not return requests for comment.