Rising values lift New York Common to record AUM of $176.2 bln

  • New York Common Fund up 13 percent in the past year
  • Fund reaches highest dollar amount in its history
  • Private equity represents 7.9 percent of total fund

”It was a stellar year for us,” Napoli said in a prepared statement.

With a 7.9 percent share of the total retirement fund, private equity investments for the Empire State’s pension system tip the scales at nearly $14 billion. Private equity’s return in the past year trailed the 22.3 percent return in domestic equities, the 18.7 percent return for real estate and the 25.1 percent return from global equities.

But it topped the 13.2 percent return for non-U.S. equities, the 9.9 percent return for absolute return strategies, the 7.8 percent return from opportunistic alternatives, the negative 6.2 percent return for Treasury Inflation-Protected Securities (TIPS) and the dip of 0.2 percent for core fixed income.

The third-largest public pension fund in the United States beat its long-term expected rate of return of 7.5 percent. The 13 percent return in the year ended March 31 also topped the 10.4 percent return in the year-ago period.

The performance update came out on the same day the S&P 500 and the Dow Jones Industrial Average both touched record highs, on May 12.

Among the private equity names in the New York Common portfolio, Apollo Global Management has drawn commitments for several of its funds, including $350 million for both the 2005 vintage Apollo Investment Fund VI LP and 2007 vintage Apollo Investment Fund VII LP. The fund committed $675 million to The Blackstone Group’s 2005 vintage Blackstone Capital Partners V LP

Other investments include a $200 million commitment to the 1998 vintage Cypress Merrchant Banking Partners II LP and $300 million to the 1999 vintage Fairview Ventures Fund I LP.  The fund committed $850 million to the 2001 vintage Hudson River Fund II LP and $600 million to the 2006 vintage KKR 2006 Fund LP, from Kohlberg Kravis Roberts & Co.