Key Takeaways
- • Christopher Schelling, age 38, serves as deputy CIO of Kentucky Retirement Systems (KRS), overseeing a $1.5 billion hedge fund portfolio within the $15.2 billion pension plan and responsible for its absolute-return strategy and investment policies.
- • Named a 2014 Hedge Fund Rising Star by Institutional Investor, Schelling joined KRS in 2011 after working as an investment consultant at Mercer Investment Consulting in Chicago.
- • Schelling is executing a direct-investing strategy to diversify KRS's hedge fund allocations, having hired five managers with four additional managers recently approved, targeting approximately 20 direct hedge fund investments.
- • Prior to his pension role, Schelling earned an MBA from the University of Illinois at Chicago and a master of science in financial markets from the Illinois Institute of Technology, complementing his undergraduate degree from the University of Illinois at Urbana-Champaign.
- • Beyond his institutional role, Schelling teaches a course in alternative investing at the University of Kentucky, blending practitioner expertise with academic engagement.
Summary
Christopher Schelling has emerged as a notable figure in public-fund alternative-asset management, serving as deputy chief investment officer of the Kentucky Retirement Systems. In this capacity, he manages the $1.5 billion hedge fund allocation within KRS's broader $15.2 billion pension portfolio, while contributing to the plan's overall strategic direction, manager research, and investment policy formulation. His recognition as a 2014 Hedge Fund Rising Star by Institutional Investor reflects his impact within the alternative-investment community, particularly among institutional allocators.
Schelling joined KRS in 2011 following a career as an investment consultant at Mercer Investment Consulting in Chicago. His educational background spans Illinois institutions: an undergraduate degree from the University of Illinois at Urbana-Champaign, an MBA from the University of Illinois at Chicago, and a master of science in financial markets from the Illinois Institute of Technology. This combination of consulting experience and advanced training in financial markets positioned him to execute KRS's strategic pivot toward direct hedge fund investing.
His primary mandate at KRS has centered on building and diversifying the pension plan's hedge fund portfolio through direct manager engagement rather than relying solely on fund-of-funds structures. As of the 2014 profile, Schelling had hired five managers with four additional managers recently approved by the board, working toward a target of approximately 20 direct hedge fund investments. This approach reflects a broader institutional trend toward direct relationships with underlying managers to enhance due diligence, reduce fees, and improve alignment of interests. Schelling has also extended his influence into academia, teaching alternative investing courses at the University of Kentucky, bridging practitioner knowledge with institutional investor education.
Schelling joined KRS in 2011 following a career as an investment consultant at Mercer Investment Consulting in Chicago. His educational background spans Illinois institutions: an undergraduate degree from the University of Illinois at Urbana-Champaign, an MBA from the University of Illinois at Chicago, and a master of science in financial markets from the Illinois Institute of Technology. This combination of consulting experience and advanced training in financial markets positioned him to execute KRS's strategic pivot toward direct hedge fund investing.
His primary mandate at KRS has centered on building and diversifying the pension plan's hedge fund portfolio through direct manager engagement rather than relying solely on fund-of-funds structures. As of the 2014 profile, Schelling had hired five managers with four additional managers recently approved by the board, working toward a target of approximately 20 direct hedge fund investments. This approach reflects a broader institutional trend toward direct relationships with underlying managers to enhance due diligence, reduce fees, and improve alignment of interests. Schelling has also extended his influence into academia, teaching alternative investing courses at the University of Kentucky, bridging practitioner knowledge with institutional investor education.
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