- Why is this important: Newer managers, including women- and minority-owned firms, can benefit from program
- Overall AUM: $200.2 bln
- EM assets in PE lifted by two-thirds to $1.5 bln
- Contact: Josiel Estrella at +1 212-669-4177 or firstname.lastname@example.org
New York City Retirement System added $600 million to its emerging-managers program in private equity, New York City Pension Fund and City Comptroller Scott Stringer said.
The increase brings the program’s total assets to $1.5 billion. Total assets for small and emerging investment managers expanded to $8.8 billion across all asset classes, a 57 percent increase in five years.
The comptroller’s office said it expected to allocate the $600 million over the next three to four years.
The PE emerging-managers program helps emerging managers, including women- and minority-owned firms. The program is part of NYCRS’s platform.
“Our emerging manager program enables us to invest with the best of the best, period,” Stringer said in a statement. “It shouldn’t matter who you know or what your background is. If you can deliver for New York City retirees, you deserve a shot — and that’s what this program gives you,”
Criteria for PE managers, the emerging-managers page on the comptroller’s website shows, include:
- Primarily Funds I – III, raising up to $1 billion with a broad institutional investor base;
- Buyout, growth equity, and distressed/special situations investment strategies;
- Firms with institutional-quality middle and back offices and strong operational controls (reputable auditor, fund administrator and employment of an independent third-party valuation firm, where appropriate).
New York City’s system has five pensions: Teachers’ Retirement System, New York Employees’ Retirement System, Board of Education Retirement System, Fire Department Pension Fund and Police Pension fund.
The system has a combined $200.2 billion in assets and a $12 billion PE portfolio.
In December, Stringer named J. David Enriquez to head PE in the city’s Bureau of Asset Management, Buyouts reported.
Action Item: The Emerging Managers page: https://on.nyc.gov/2HoB3wm
Update: This story was updated to add the expected time frame for allocating the additional funds.
Correct: The city system’s total assets are $200.2 billion. The figure has been corrected.