INSIGHTS

New York state pension giant reveals over $1bn of new PE, alternative asset fund commitments

US pension fund giant the New York State Common Retirement Fund made more than $1bn of new commitments across a string of private equity and alternative assets fundraises.

The bulk of the April commitments were taken up by Brookfield Asset Management, which picked up $600m split evenly across its Special Investments Fund and a co-investment vehicle.

That fund will make opportunistic, cross-sector deals primarily through non-control, large-scale, equity and equity-linked investments created by market dislocations, the firm said.

It is eyeing up to $5bn for the fund, and had reached $2.4bn for a first close by the start of last month according to a Buyouts report.

NYSCRF committed €200m to Exeter Europe Logistics Value Fund IV, which is focused on industrial assets in Europe.

That fund had reached $473m of LP commitments at the start of this year according to an SEC filing, with eyes on up to €1.25bn.

Other LP commitments to that vehicle include the New Mexico State Investment Council committed $100m.

NYSCRF also revealed it had committed more than $123m to Pearl Diver Capital’s PDC Opportunities IX, which will invest primarily in debt and equity tranches of collateralized
loan obligations managed by third-party investment firms.

Primary Ventures picked up $15m towards its second Select fund, which is targeting later stage high-growth technology and technology enabled companies in the northeastern US, and K5 Private Investors received $50m as part of NYSCRF’s emerging manager programme.

NYSRCF revaled last month that it had hit a 33.55% return for the fiscal year ending March 31, a sterling rebound from the lows faced by investors through the onset of the Covid-19 crisis.

The return on investments increased the fund’s value to an estimated $254.8bn.

Private equity returned almost 24% in the period, and represents about 10.5% of the fund’s total investments.

New York State Comptroller Thomas P DiNapoli said at the end of last month, “The state pension fund rode the market rebound from the depths of the pandemic and enjoyed the largest one-year investment return in its history.

“This outsized return reinforces the Fund’s position as one of the strongest in the nation, but it comes with a caution.

“Markets remain volatile and as unpredictable as ever. With our talented investment staff, I will continue to manage our state’s pension fund with prudence and a focus on stable, long-term results that ensure continued retirement security for our members for generations to come.”

RELATED ARTICLES