The commonwealth also has reached its target allocation to private equity, which is to have 14 percent of the $34 billion pension fund invested in the asset class. At the moment a little more than 10 percent is invested in buyouts, with 3.6 percent in venture capital, according to Robert Gentzel, a pension spokesman. The state’s investment office is just beginning to discuss next year’s investment plan, to be finalized in December. It is too early to say if the state will change its allocation or how having reached it will affect the state’s investment pace, Gentzel said
The latest round of commitments includes up to $10 million to
The latest round of commitments reflects the state’s continuing appetite for international earlier, having committed €100 million to
This last round also saw PaSERS give the green light for investments in two venture capital firms: up to $25 million to
PaSERS meets eight times a year and has been a longtime investor in LBO funds. Pennsylvania is currently invested with 137 general partners across a total of 318 private equity funds, not counting the most recent commitments.
Managing the reams of paperwork for the Keystone State’s alternative asset portfolio has become all-consuming for the office staff in Harrisburg, so PaSERS hired Credit Suisse Securities Customized Fund Group to help out. “There’s a lot of work attendant in maintaining all of those funds, both in the partner role of attending advisory committee meetings or annual meetings, or being involved in conference calls or whatever may come along,” Gentzel said.
Credit Suisse will provide mainly administrative support so PaSERS staffers can spend more time assessing new GPs and their funds. It will not serve as an investment advisor; Cambridge Associates fulfills that role.—J.P.