Iowa Regents Examines Assets

Board May Approve Hedge Fund Foray

June 10, 2008

The $1.8 billion Board of Regents for the State of Iowa is currently undergoing a review of its asset allocation, said Chief Business Officer Patrice Sayre.

“This is a formal review with our financial investment advisor, Wilshire Associates,” she said, adding that plan changes will be brought to the August Board of Regents meeting for discussion and anticipated approval.

According to the minutes for the Regents April meeting, the board will consider increasing its investments in real assets. Additionally, it may make an initial allocation to hedge funds.

“We will likely be moving towards more alternative investments, but may have to have legislative action,” Sayre said.

The fund has a current target asset allocation of 45% domestic equity, 30% domestic fixed-income, 15% international equity and 5% each in real estate and private equity, according to its most recent investment and cash management report.

Mike Dudkowski of Wilshire advises the board.