The $630 million Knoxville (Tenn.) City Employees’ Pension Fund has hired IFM Investors and Ullico Investment Advisors as investment managers for core, open-ended infrastructure funds, according to a December board meeting document.
Knoxville voted to allocate 5 percent of the fund’s portfolio to global infrastructure, with IFM’s larger globally diversified portfolio receiving two-thirds (roughly $21 million) and Ullico’s smaller U.S.-focused portfolio receiving one-third ($11 million) of the total asset value.
A spokesperson for the pension fund said Knoxville has no plans to adjust the target allocation any further in the near future.
"We chose to go with open-end private funds as our preferred vehicle for investing in infrastructure after weighing the benefits and the risks in the infrastructure space," said Kristi Paczkowski, executive director for the pension fund,