Justin Mitchell

The pension's PE consultant says the changes will give it 'expanded' options for partners.

The $78.46bn pension made the commitments in September, but staff says they failed to agree on terms with KPS.

'Parts of the legacy portfolio do not have a prospect of generating a return commensurate with the risk and the illiquidity entailed, and may not provide a return at all,' CIO Narv Narvekar wrote.