The $3.5B Iowa Municipal Fire & Police Retirement System has widened its private credit and infrastructure appetite, following a recent asset allocation study.
The pension plan has increased its private credit target allocation to 5% from 2%, its infrastructure target to 5% from 3%, and its absolute return allocation to 3% from 2.5%.
According to a flash report published on the pension’s website, the board also approved decreasing target allocations to core real estate and private closed-end real assets. Other changes include decreasing target allocations to strategic investments to 33% from 33.5%, core real estate to 5% from 8% and eliminating the 2% target allocation to private closed-end real assets.
Additionally, the flash report also disclosed that the board has placed Baillie Gifford, its non-U.S. large cap growth manager, on a watchlist and re-underwriting Baillie Gifford for its November board meeting.
As of June 30, 2025. the pension plan reported a 9.2% return for its one-year time period, against a benchmark of 12.2%. For its five-year return, the pension plan outperformed its benchmark (9.5% return compared to 8.4%).
