As Public Plans’ ARP Confidence Grows, Will More Implement In-House Strategies?

It might seem a given that a public pension plan considering dipping its toes into alternative risk premia for the first time would do so only with the support of an asset manager or bank partner. After all, public plans are notoriously cautious and North American funds are not exactly at the vanguard of ARP take-up. But consider that many plans are approaching ARP as a new allocation within their existing alternatives bucket. They are looking for greater liquidity and cost efficiencies. Running ARP strategies in house could be a logical next step for some funds, looking to further extend those efficiencies. Elinor Comlay spoke with North American funds and consultants about how they expect ARP allocations to evolve.