In what are challenging times for funds of hedge funds, Judy Saunders, formerly one of the UK’s most influential pension fund chiefs, continues to endorse their benefits.
The strategy she spearheaded and implemented at the $13.5 billion West Midlands Pension Fund (WMPF), increasing the fund’s allocation to alternatives to 35% by 2012, certainly backs up her assertions.
Since leaving WMPF earlier this year, she has also taken on a part-time senior advisory role at Man Group, where she will work with the Man UK institutional team to tailor products and strategies specifically to the needs of UK local government pension schemes. In addition, Saunders is also an independent investment adviser to the Newham Pension Fund, which has a meaningful alternatives portfolio of its own.
While some local authority pension funds have expressed discontent with their hedge fund investments in recent reviews, the West Midlands’ experience was that...