Subject: Hedge funds.
From: "Arlene Busch" <[email-masked]>
To: "Biden Hunter" <[email-masked]>, "Schwerin Eric" <[email-masked]>, "Mathis Mike" <[email-masked]>, "Harple Chuck" <[email-masked]>
Cc: "Peugh Joan" <[email-masked]>
Date: Wed, 8 Aug 2012 18:42:16 -0600

From AI-CIO.com<http://AI-CIO.com>: Alternative assets are the only way for plan sponsors to reach their 7% or 8% return targets, according to Blackstone President and CEO Tony James.

In a Monday post on the private equity firm's website, James argued that if the "nation is going to be able to provide for its future, pension funds and other institutional investors must earn more than they can get in public markets. "And," he continued, "they must do so on a scale large enough to move the return materially on hundreds of billions of dollars. I believe that only alternative investments can fill this need. Indeed, I don't think the US pension system can come close to being solvent without having major investments in alternative assets."... Full article: Source<http://www.ai-cio.com/channel/ASSET_ALLOCATION/Alternative_Assets_the_Key_to_Solvency,_Says_Blackstone_Head.html>

Arlene Busch
312-498-9595 (m)
202-333-1880 (w)