The Arizona Public Safety Personal Retirement System (PSPRS) is planning to invest $40 million into EJF Capital, HFMWeek reports. The system’s investment committee will make a decision regarding a possible allocation into the hedge fund’s EJF Debt Opportunities Fund. The pension fund currently allocates around 2.5% of its overall investment portfolio to absolute return funds, with a target allocation of 4%. PSPRS also approved $40 million allocation to the Red Kite Explorer fund, a Sydney-based metals-trading hedge fund, last month.

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