- Why this is important: Fund pledged big to KKR, Thoma Bravo, Brookfield in December; chose two long-dated PE strategies in 2018
- AUM: $207 bln
- Contact NYS Common: +1 518-473-4556 or firstname.lastname@example.org
New York State Common Retirement Fund committed more than $1.1 billion to private equity funds in December, bringing its total 2018 commitment to the asset class up to $6.3 billion.
The $207 billion pension fund committed:
- $400 million to Brookfield Asset Management’s Brookfield Capital V fund, which has a target size of $8.5 to $9 billion and will take an opportunistic approach toward asset-heavy businesses;
- $400 million to Thoma Bravo Fund XIII, a software-focused fund that closed in January on $12.6 billion;
- $300 million to KKR’s Global Impact Fund SCSp, which will invest in five impact verticals aligned with UN Sustainable Development Goals;
- $39.9 million to Boyu Capital Fund IV, a commitment made through NYAI Co Investment Fund III; and,
- $25 million to CDH Fund VI, also made through NYAI Co Investment Fund III.
The $1.17 billion committed in December was a peak for the year, slightly exceeding the commitment totals for June and October, both of which exceeded $1.1 billion.
The biggest recipient of New York State’s PE funds for the year was Vista Equity Partners, which took home $1.45 billion of commitments, including the largest and second-largest commitments the state made.
The retirement fund committed $750 million to Vista’s flagship Fund VII, $500 million to its long-dated Perennial fund, and $200 million to an opportunistic credit fund.
Vista Perennial was not the only long-dated fund CRF chose for the year. It also committed $300 million to Blackstone’s Core Equity Partners fund, which has a 20-year duration.
The $6.3 billion total may not reflect all commitments CRF made in 2018, since some are reported on a delay. The fund’s investment disclosure from January 2018, for example, included $770 million of commitments that actually closed in December 2017. Those numbers have been excluded from the 2018 total.
Action Item: See the NYS comptroller’s latest investment disclosure: https://bit.ly/2G7wPc