Texas ERS approves real estate tactical plan for 2020

The $28.2 billion Employees Retirement System of Texas (ERS) board of trustees has unanimously approved its annual tactical plan for fiscal year 2020.

The annual plan reviews the current status of the real estate portfolio, recent historical and prospective market conditions, and proposes the steps to implement the real estate program over the next fiscal year.

ERS met with the investment advisory committee on May 22 to review and approve the plan, which was prepared by Meketa Investment Group, according to board meeting minutes.

Going forward, ERS will be able to invest in venture capital and real estate supporting companies such as property technology, which will be limited to 5 percent of the private real estate portfolio.

As of March 31, the private real estate portfolio was valued at $2.1 billion, with a targeted commitment of $550 million. The total commitments are not expected to exceed the $825 million target for the current fiscal year.

ER