FUNDRAISING NEWS | January 10, 2025
The Los Angeles Water & Power Employees’ Retirement Plan committed $190M to three funds and is interviewing four candidates for its emerging markets equity mandate, while also mulling updates to its strategic asset allocation interim targets.
According to its December 11, 2024, board meeting agenda items, the Los Angeles pension allocated $90M to large buyout Clearlake Capital Partners VIII and another $75M to Clearlake’s Limerock co-investment strategy. The pension also committed $75M to Bain Capital Real Estate Fund III in a deal that was approved by the board on July 10, 2024.
In its emerging markets equity manager search, the pension’s chief executive Linda Le recommended interviewing and selecting from four candidates for the mandate, namely Acadian Asset Management, AQR Capital Management, Arga Investment Management, and Man Numeric Investors. LADWP initially issued the RFP in July 2024, with general consultant RVK assisting in the selection process.
Meanwhile, the pension is potentially adopting an interim asset allocation target structure where it will update its private credit interim target to 2.5% and its fixed income target to 22.5%, against approved targets of 5% and 20%, respectively.
Other asset classes would maintain at their approved benchmarks, with 42% targeted for public equity, 10% for real estate, 12% for private equity, 5% each for real return and hedge funds, and 1% for cash equivalents.
