A California pension fund on Thursday said it was looking for new investment opportunities piggybacking on the recent tumble in crude oil prices to five-year lows.
The Orange County Employees Retirement System issued a request for proposals "for investment strategies that can favorably exploit the recent meltdown in global petroleum markets," the fund said in a statement.
The $12 billion public pension plan is considering both equity and debt strategies.
"We are exploring the available options to deploy our capital strategically and timely in light of the recent plunge in crude oil prices and the anticipated shake-out in the American energy industry," Chief Investment Officer Girard Miller said in the statement.
A six-month selloff has nearly halved U.S. crude prices , to below $60 a barrel on Thursday for the first time in five years. Shares of energy companies have sunk, as well.
The request even noted that the steep slump could make for opportunities. "In this washout environment, we do not need to swing for the fences to hit home runs to succeed in this space," read the request, which was posted on the fund's website.
Proposals are due by Jan. 18. (Reporting by Luciana Lopez in New York; Editing by Lisa Shumaker)
Source: Reuters
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