The $10 billion
The limited partner’s private market investment plan for 2010 permits up to $350 million in commitments to private equity, but it has made only one pledge so far this year.
Attractive areas for the pension fund in 2010 include buyouts, venture capital and secondary partnerships. Both U.S. and non-U.S. primaries and secondaries are of interest, but non-U.S. opportunities will only be accessed via funds of funds, Graham says.
Last year, on the international front, Ohio Police & Fire Pension Fund pledged $35 million to the Adams Street Partnership 2009 Global Offerings Fund – Non-U.S. Fund Program and €43 million ($55 million) to HarbourVest International Private Equity Partners VI.
Past commitments have also gone to
Most pledges are slugs of $5 million or $10 million. —Nancy Gordon
Ohio LP to maintain PE pace over next year
The
Expect the pension fund’s commitments in fiscal 2011, which began on July 1, to go mostly to buyout funds. However, the staff will also continue to consider international and special situation funds, such as energy, secondary and distressed debt vehicles, as well as co-investment opportunities.
The private equity portfolio is currently divided about two-thirds buyouts, and one-third venture capital and special situations.
Through March, the LP had reviewed more than 110 partnerships and had held more than 40 preliminary discussions with general partners. But the pension fund’s commitment pace was nevertheless slower than anticipated over the past year “due to a smaller number of high caliber investment opportunities” in the market, according to a board document.
Through March, said spokesperson Tim Barbour, the LP had committed $120 million during the fiscal year to three funds: up to $40 million each to Francisco Partners III, a technology-focused mid-market buyout fund, and Mason Wells Buyout Fund III, a lower mid-market buyout vehicle; and up to $40 million to Monomoy Capital Partners II, earmarked for corporate restructuring investments. —Nancy Gordon