Many investors were burned in the years leading up to Covid during the rise of ESG and bear market in oil. "We like that investment," said Jase Auby, the chief investment officer for the pension system, which has a 6% allocation to energy and energy infrastructure. Auby said his pension system stress tests for oil prices because it is very volatile. The Texas pension system is a long-term investor and looks at energy that way, as it does the broader commodities complex. "I get the hedge in the inflation scenario," he said, adding that the pension system holds commodities in its risk parity portfolio for inflation reasons.

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Persons: Jase Auby, Auby, — Eric Rosenbaum Organizations: of Locations: of Texas, Texas