The
Cambridge Associates LLC will begin its tenure as the pension’s private equity consultant on August 1. Its job is to help the pension identify private equity partnerships and managers. Previously Strategic Investment Solutions held that position.
On the commitment front, a total of $80 million went to two funds run by distressed debt specialist
Earlier this year, the $30 billion LP approved a $50 million commitment to
In addition, a $25 million commitment went to venture capital firm Venrock Associates for its sixth fund.
Tennessee is a relative newcomer to private equity, having made its initial pledge to the asset class just last year. So far, commitments have gone to
The recent board document, which also discussed the private equity program’s performance as of December, noted that the LP is “pleased (if not shocked) to report that the program has a positive IRR of 12.3 percent net of fees due to portfolio valuation increases in the Khosla Ventures III portfolio. Due to the expected impact of the J-curve, we do not expect the overall program’s IRR to remain positive for long, but are pleased with these results nonetheless.”
The LP’s target allocation to private equity is 3 percent, with a cap of 5 percent. Its actual allocation stands at a little more than 1 percent.