By Susan Barreto
In spite of a lot of hurdles, New York State
Retirement Fund has become an institutional market leader in
direct hedge fund allocations. In the last 18 months, the
retirement fund has completely rebuilt its hedge fund portfolio
so that it is now a world-class show piece of hedge fund
investing, not withstanding the volatile mix of political
scandal and poor performing markets.
Indeed, the New York State Retirement Fund has become the
focal point on the rolodex for any aspiring single manager.
Most recently, an allocation of $250 million to London-based
emerging markets total return specialist Finisterre Capital
propelled the firm to a new level. According to EuroHedge, the
allocation is one of the New York State's largest single hedge
fund investments to date.
Not satisfied with simply the size and diversity of its
hedge fund portfolio - which saw more than $1.3 billion in