The $21.2 billion Los Angeles Fire & Police Pension System (LAFPP) is considering additional rebalancing on a cash-neutral basis and re-evaluating previous core commitments, according to a recent market update conducted by Townsend for the real estate portfolio.
Under its 2020–2021 investment plan, the fund will look to commit between $100 million and $120 million. This will be made via two-to-three new commitments at $35 million to $50 million each.
The real estate portfolio current stands at 9.9 percent, slightly underweight its target allocation of 10 percent, according to the investment report. The portfolio consists of public and private real estate, which includes core and noncore. Approximately 28 percent of LAFPP’s real estate is invested in core open-end funds. In the noncore portfolio, LAFPP has both value-add and opportunistic portfolios.
