SFGate – Just an update on my post of last week that the San Francisco Employees’ Retirement System was contemplating an investment in hedge funds. The retirement board tabled the proposal Oct. 8 after a news story that the fund’s long-time investment adviser, Angeles Investment Advisors, was running a Cayman Islands hedge fund — a fact apparently not disclosed to the retirement board trustees.
Public employee pension funds are moving away from “alternative” investments like hedge funds after studies have showed that the rate of return does not support the higher cost. The Sage of Omaha, Warren Buffett, warned SFERS to stay away from hedge fund investments.
