Hedge Funds Institutional Investors

Texas Treasury moves away from funds of funds, goes direct

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The Texas Treasury Safekeeping Trust Fund is understood to have made its initial direct allocations to hedge funds in a broad transition away from funds of hedge funds.

The $3 billion endowment portfolio of the Texas Treasury is said to have allocated $180 million across nine hedge funds. Level Global Investors, Diamondback Capital Management, Mason Capital, Davidson Kempner Capital Management, Aristeia Capital, Shumway Capital Partners, Kingdon Capital and Bridgewater Pure Alpha were said to receive $20 million allocations each.

Last fall, the state endowment portfolio received redemptions from Rock