Institutional Investors

Chicago Teachers seek emerging managers to add to fund of hedge funds allocation


The $8.3 billion Public School Teachers' Pension and Retirement Fund of Chicago is searching for a fund of emerging hedge funds manager as part of a continuation of the retirement system's 2% allocation to hedge funds.

The new mandate would total $25 million and would fund existing fund of hedge funds managers K2 Advisors and Mesirow with $70 million each, with funding coming from the liquidation of Lehman's fixed-income portfolio that was terminated last year.

K2 and Mesirow were initially hired in late 2008 to equally split a $200 million