The Committee also selected UBS Brinson Partners to help the System invest in timberland outside the United States.
All contract awards are contingent upon satisfactory completion of contract negotiations.
In an effort to seize promising opportunities in the timber markets abroad, CalPERS will work with UBS Brinson Partners of West Lebanon, New Hampshire to develop a strategic plan for future timber purchases internationally. Currently, CalPERS policy on timber investments allows for up 10 percent of the System's timber portfolio to be invested internationally. We are confident that with the experience and resources provided by these managers, we will be able to ensure continued sound investment and excellent returns while managing risk. The structure of the timber portfolio manager contracts will be modeled after CalPERS core real estate program. The pension fund will achieve alignment of interest with each timber manager through provisions such as co-investments, dedicated management teams and incentive fees.