Iowa Public Employees’ Retirement System increases private real assets allocation

The investment board of the Iowa Public Employees’ Retirement System (IPERS) on Sept. 22 voted to amend the system’s allocation plan.

The amendment increased the private real assets allocation from 8.5 percent to 9.5 percent, while also increasing private equity and slightly reducing other asset classes.

IPERS’ five-year net total return exceeded both the U.S. public median and the peer median. In addition, the pension fund’s five-year net value-added exceeded both the U.S. public median and the peer median.

“To avoid rebalancing illiquid assets and potentially diminishing the portfolio’s value, and to ensure vintage year diversification, the investment board responded with action that brings the allocations more in line with IPERS’ actual targets,” said Greg Samorajski, CEO of IPERS. “IPERS’ investment board annually reviews the asset allocation plan. In 2021 the board did not change the plan. In 2020, the board amended the allocations in fo