Subject: Arkansas
From: "Arlene Busch" <[email-masked]>
To: "Biden Hunter" <[email-masked]>, <[email-masked]>, "Schwerin Eric" <[email-masked]>
Date: Fri, 18 May 2012 13:44:59 -0600

Arkansas Public Employees commits $60 million to real estate
Arkansas Public Employees Retirement System<http://www.pionline.com/section/researchcenter-profiles?dir=plan-sponsors&page=db&R=428688>, Little Rock, committed $30 million each to value-added real estate managers TA Associates Realty and LaSalle Investment Management<http://www.pionline.com/section/researchcenter-search?MS_SEARCH_AID=LaSalle+Investment+Management+Inc.>, according to recently released minutes of a special board meeting on April 11.<http://oas-central.realmedia.com/RealMedia/ads/click_lx.ads/www.pionline.com/article/120519914/813764687/Position3/default/empty.gif/5272357a47453155474b7341434a4565;zip=US:85013?x><http://oas-central.realmedia.com/RealMedia/ads/click_lx.ads/www.pionline.com/article/120519914/612703322/Position4/default/empty.gif/5272357a47453155474b7341434a4565;zip=US:85013?x>
TA Realty was chosen for its "emphasis on smaller properties" and LaSalle for its "high income stream," according to the minutes. The other finalists were AEW Capital Management<http://www.pionline.com/section/researchcenter-search?MS_SEARCH_AID=AEW+Capital+Management> and CBRE Global Investors.
Callan Associates<http://www.pionline.com/section/researchcenter-profiles&dir=consultants&page=profile&R=33925>, the $6 billion retirement system's investment consultant, assisted.
Separately, the board approved a shortlist search for a "fund-of-one" hedge fund manager to run $100 million.
Executives from Grosvenor Capital Management presented an education discussion on funds of funds at the February board meeting. Gail Stone, APERS executive director, recommended a fund-of-one approach at that time to "avoid excessive energy exposure," according to the minutes.
Also, the board rehired BNY Mellon as global custodian after the bank agreed to a $2 million reduction in fees over the next five years. State Street Corp.<http://www.pionline.com/section/researchcenter-profiles?dir=plan-sponsors&page=db&R=429238> (STT<http://app.quotemedia.com/quotetools/clientForward?action=showDetailedQuote&symbol=STT&targetsym=qm_symbol&targetURL=http://www.pionline.com/section/marketoverview?qm_symbol=STT>) was the other finalist.

Arlene Busch
312-498-9595 mobile
[email-masked]<mailto:[email-masked]>