Reports Blog

April 2025 Public Pension Brief

Written by John Washington, Data Research Analyst | May 1, 2025 9:00:00 AM
  • Major Private Equity Commitments Across Funds:

    • Washington State Investment Board committed $1.5B across Advent International GPE XI ($500M) and a $1B co-investment in Evergreen Park Investment Fund

    • Teachers' Retirement System of Illinois allocated $150M to Vista Foundation Fund V, $130M to THL Equity Fund X, and $200M to Pretium Residential Credit III, highlighting continued demand for buyouts and private credit

  • Increased Focus on Private Credit

    • Virginia Retirement System made significant allocations, including $275M to Ares Special Opportunities Fund III and $200M to HPS Asset Value III

    • Los Angeles City Employees' Retirement System recommended new benchmarks for its private credit portfolio as it continues to expand exposure

  • Real Assets and Infrastructure Investments on the Rise

    • Arkansas Teacher Retirement System committed $50M each to AxInfra NA II and KKR Diversified Core Infrastructure Fund

    • New York State Common Retirement Fund allocated $250M to Oaktree Power Opportunities Fund VII and $150M to Vision Ridge Partners Sustainable Asset Fund IV, demonstrating increased focus on energy transition and climate-related infrastructure

  • Pacing Plans Show Steady Long-Term Allocations

    • Teachers' Retirement System of Oklahoma plans to commit $475M annually to private equity through 2027, with increased commitments likely thereafter

    • San Jose Police and Fire Department Retirement Plan set a $375M pacing plan for FY 2025–26 across buyout, venture capital, private debt, real assets, and growth real estate

  • Venture Capital Gaining Traction

    • Arkansas Teacher Retirement System added $80M across Franklin Park VC funds, while Texas County & District Retirement System committed $60M to Threshold Ventures V

  • Asset Allocation Shifts and Reviews Underway

    • Imperial County Employees Retirement System adjusted its targets, reducing fixed income and increasing U.S. TIPS and cash

    • Los Angeles Water & Power Employees' Retirement Plan redefined its real return asset class to include infrastructure (50% of allocation)

  • Emerging Market Equities and International Searches Expanding

    • New York State Common Retirement Fund selected Nipun Capital to manage $400M in emerging markets equities

    • Multiple plans, including Hartford and Alameda County ERS, reviewed or launched emerging markets equity manager searches

  • Leadership and Consultant Changes

    • Arizona PSPRS appointed a new Deputy CIO, Alexander Dorf, joining from UPS’s pension plan

    • Several funds (e.g., Vermont Pension Investment Committee, San Diego County ERA) reaffirmed or renewed their general consultant relationships