Institutional Investors

Alternatives on the rise in pensions, SEI says


A new poll from SEI shows that pension portfolios have significantly increased the percentage allocated to alternatives over the last two years.

Use among pension plans with more than $300 million in assets is higher than those with less, while roughly 65% of poll participants have invested in alternatives already.

All pension executives viewed improved funded status as a benchmark more important than increasing absolute returns. As alternative investments are viewed as a way to boost underfunded portfolios, roughly 47% of those polled by SEI allocate to funds of hedge funds, while 30% allocate to single manager hedge