The North Carolina Retirement Systems has won final legislative approval to increase its alternative investment assets.
Pensions & Investments reported that the Senate voted 43-3 on Thursday to approve the legislation and is now pending the governor’s signature. The new legislation allows the pension fund to raise its total alternatives allocation to 35% from the current 34%, which includes a 8.5% limit to hedge fund investments.
Janet Cowell, the pension fund’s trustee who initiated the legislative change, explained that the increased allocation to alternative investments “improves [the pension’s] ability to protect and grow while keeping its long-term cost to the taxpayers at a reasonable level.”
The pension fund currently manages approximately $81.1 billion for North Carolina’s employees.