Institutional Investors

UTIMCO readies injection into hedge fund programme despite redemptions

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The University of Texas Investment Management Company will likely boost its hedge fund allocation to 33% from the current 30% despite nearly $500 million in hedge fund redemptions earlier this year and more than $1 billion in net redemptions over the nine months ended 31 May.

Trustees have discussed investment policy changes for the $19 billion portfolio for the last few months with the current proposal being to decrease public equity while boosting hedge fund strategies that have outperformed the equity markets in the current economic downturn.

The current asset mix