The $73 billion Ohio Public Employees’ Retirement System issued a request for information in April, seeking up to five managers to handle a portfolio totalling up to $450 million.
Four to five managers will be awarded mandates of $70 million to $90 million each to be structured in commingled vehicles. Managers are expected to be selected in June. Risk parity can be used to guide portfolio diversification by decreasing assets with large shares of the investment risk budget and increasing lower-risk assets, according to NEPC, which is Ohio PERS’s consultant. In practice, risk parity is used in an