Kansas Public Employees Retirement System (PERS) has announced changes to its investment allocation, with a focus on increasing infrastructure investments while reducing its exposure to real estate. The decision comes after a recent review of the pension fund’s allocations.
The move to increase infrastructure investments reflects a growing trend among pension funds to seek out stable, long-term returns in an uncertain market environment. Infrastructure assets, such as airports, toll roads, and energy projects, offer the potential for steady income streams and diversification benefits.
At the same time, Kansas PERS has decided to reduce its allocation to real estate. This shift may be driven by concerns over the impact of the COVID-19 pandemic on the commercial real estate market, as well as a desire to rebalance the fund’s portfolio.
The decision to make these changes to its allocation strategy demonstrates Kansas PERS’ commitment to actively managing its investments and adapting to changing market conditions. By increasing its exposure to infrastructure and reducing its holdings in real estate, the pension fund is positioning itself to take advantage of opportunities in sectors that are expected to perform well in the current economic climate.
Overall, the move to adjust its allocation reflects Kansas PERS’ focus on long-term sustainability and prudent risk management. By diversifying its investments and staying nimble in response to market trends, the pension fund is working to ensure the financial security of its members for years to come.
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