Target Asset Allocation

High-Yield Investments asset class is now called Credit.

Assets > REAL ASSETS > PRIVATE REAL ESTATE

PRIVATE REAL ESTATE

The Big Picture
Private real estate investments are made through private partnerships that acquire and operate commercial real estate including office buildings, apartments, hotels, malls and residential real estate.



Back to Main Class

Assets > REAL ASSETS > MASTER LIMITED PARTNERSHIPS

MASTER LIMITED PARTNERSHIPS

The Big Picture
Master Limited Partnerships (MLPs) are investments in publicly traded partnerships that invest primarily in energy infrastructure assets such as pipelines, storage facilities and delivery terminals.



Back to Main Class

Assets > REAL ASSETS > REITS

REITS

The Big Picture
REITs (Real Estate Investment Trusts) are companies that own and operate income-producing real estate, such as commercial office buildings, apartments, malls, warehouses and storage facilities. REITs enjoy a unique tax structure that lets them avoid the payment of federal income taxes if they pay out most of their income in the form of dividends.



Back to Main Class

Assets > REAL ASSETS > COMMODITIES

COMMODITIES

The Big Picture
Commodities come in the form of agricultural products and livestock, energy products, and precious and industrial metals. The asset allocation parameters allowed by the TCDRS Investment Policy range from 0% to 3% for Commodities; however, the target allocation is set at 0%.



Back to Main Class

Assets > REAL ASSETS > TIPS

TIPS

The Big Picture
TIPS (short for Treasury Inflation-Protected Securities) are bonds issued by the U.S. Treasury, just like other U.S. government bonds. However, TIPS’ principal amount increases with the rate of inflation, which means inflation does not decrease the value of the bond. The asset allocation parameters allowed by the TCDRS Investment Policy range from 0% to 3% for TIPS; however, the target allocation is set at 0%.



Back to Main Class