Institutional Investors

UTAM to reposition hedge funds in revised plan

by

Michel Malo
The University of Toronto Asset Management Corporation has re-oriented its hedge fund programme with plans to distribute hedge fund holdings across the $4.4 billion pension and endowment portfolio with a focus on risk drivers rather than on standard asset classes.

The new investment plan has yet to be approved by the board, but should staffers move forward the current hedge fund allocation of 17.5% will change to a 10% allocation to an absolute return portfolio and up to another 10% in other portfolios. The absolute return portfolio will be designed to be uncorrelated