NY City Teachers’ Seeks PE Consultant

The Comptroller of the City of New York John Liu issued an RFP on April 9 for a private equity consultant for the Teachers’ Retirement System of the City of New York. The $34 billion pension fund now uses PCG Asset Management as its consultant for the asset class.

The RFP could also be used to find a private equity consultant for some of the other pension funds that the comptroller oversees, which include the New York City Employees’ Retirement System, the New York City Police Pension Fund and the New York City Fire Department Pension Fund, if those other pensions decide they want to look for a private equity consultant as well.

Teachers’ Retirement System of the City of New York had pledged $3.4 billion to 125 private equity funds as of September 2009, or roughly 10 percent of the pension’s total assets. The LP’s target allocation to the asset class is 4 percent, according to the RFP.

The consultant’s services, non-discretionary, would entail providing advice on several strategies, including corporate finance, venture capital, mezzanine investing, distressed vehicles, secondaries and fund of funds.

Responses to the RFP are due on May 3. Expect the winner to be chosen in June.