Kentucky PPA Allocates $100M to ITE Private Infra Strategy

The Kentucky Public Pensions Authority (KPPA) is committing $100M to the ITE Rail Fund, per agenda materials from its December 17 board meeting. 

The open-end fund focuses on railcar leasing and is expected to generate 6% to 9% net returns for the pension. KPPA said it is looking to access “mid-single digit annual income from asset leasing” via its investment in the fund over the long term, as well as “modest appreciation” from inflation-driven increases in lease rates and vessel replacement costs. 

KPPA’s allocation to the ITE fund will fall under its real return portfolio, which currently holds a 9% allocation. The $25B pension said it is also evaluating and considering other real return strategies in transportation, sports, production-focused energy, energy credit or energy secondaries, mining credit, timberland, infrastructure, and dedicated commodities.

New call-to-action

Written By: Dakota

logo-1

The Database For Cold Outreach to Reach Institutional and RIA Investors