Charlotte Firefighters' Retirement System

The Charlotte Firefighters’ Retirement System provides defined benefit pension benefits to sworn firefighters of the City of Charlotte, North Carolina. Managing approximately $2 billion in assets, the system is one of the larger municipal fire pension funds in the southeastern United States. The system is governed by a Board of Trustees responsible for investment policy and plan administration.

Investment Strategy

The Charlotte Firefighters’ Retirement System maintains a diversified investment portfolio across domestic and international equities, fixed income, real estate, and alternative investments. The Board of Trustees establishes asset allocation policy based on actuarial studies and capital market assumptions, with the objective of generating risk-adjusted returns sufficient to meet long-term pension obligations. The fund utilizes external investment managers across asset classes, with oversight from internal staff and external consultants. The investment approach emphasizes diversification, risk management, and long-term return generation consistent with the fund’s benefit payment requirements.

Private Markets Approach

The system allocates approximately 8% of its portfolio to alternative investments, including private equity and real estate. The private equity program includes commitments to buyout and diversified strategies managed by established institutional general partners. Given the fund’s size, the alternatives program is focused on a select group of manager relationships that provide meaningful private markets exposure while maintaining appropriate diversification. The real estate allocation includes investments in commingled funds spanning core and value-add strategies. The board and its investment consultants evaluate alternative investment opportunities through a thorough due diligence process, with emphasis on manager track record, organizational stability, and fee reasonableness.