Los Angeles Fire and Police commits to StepStone, DFJ Growth

  • $18.4 bln pension backs StepStone, DFJ Growth
  • Committed $5 mln to previous StepStone secondaries fund
  • Pension’s PE portfolio delivers 11.1 pct IRR

Los Angeles Fire and Police Pensionsdisclosed $40 million in new commitments to private equity funds in its July 21 meeting materials.

The larger of the two commitments, $25 million, went to StepStone Secondary Opportunities Fund III. Los Angeles Fire and Police Pensions approved the commitment at its April 7 meeting and secured its allocation to the fund on June 13. StepStone Group raised $94 million for Fund III as of January, SEC filings show.

The $18.4 billion retirement system committed $5 million to StepStone Group’s previous secondary fund, which closed on $450 million in 2013.

How much StepStone is targeting for Fund III is unclear. The firm could not be reached for comment.

Los Angeles Fire and Police Pensions also committed $15 million to DFJ Growth 2016, which is targeting $500 million. The pension secured its allocation to DFJ Growth‘s new fund on June 22, according to meeting materials.

Los Angeles Fire and Police Pensions valued its PE portfolio at $1.6 billion as of June 30, 2015, according to its most recent private equity report. The portfolio delivered a 1.48x multiple and 11.1 percent internal rate of return as of that date.

Action Item: Los Angeles Fire and Police: www.lafpp.com