February 2025 Public Pension Brief

Overview

Dakota’s February 2025 Public Pension Brief provides insights into investment activity across more than 350 public pension funds nationwide. This edition highlights over $1B in commitments from Florida SBA, major allocations from CPP Investments ($700M to BPEA Private Equity IX), and significant funding to private credit strategies from New Jersey, Virginia, and others. Venture capital gained momentum with multiple early- and late-stage commitments, while infrastructure and real assets attracted strong flows, particularly in data centers and energy transition projects. The report also covers asset allocation shifts, new manager and consultant searches, and leadership changes shaping future public pension investment strategies

Significant Allocations from Florida SBA: Over $1B in Q4 2024 commitments across private equity, real estate, private credit, and energy, including $300M to Landmark 1, $150M to Principal Data Center Growth & Income, and multiple Thoma Bravo funds
Large New Commitments from CPP Investments: Allocated $700M to BPEA Private Equity IX, $323M to TPG Angelo Gordon real estate fund, and significant amounts to secondaries and co-investments across North America and Asia
Continued Growth in Private Credit: New Jersey and Virginia Retirement Systems committed hundreds of millions to Blue Torch Credit Opportunities, TCW Direct Lending, Audax Direct Lending Solutions III, and other opportunistic credit funds
Venture Capital Support Rising: Multiple plans, including San Antonio Police & Fire, Mass PRIM, and Los Angeles Fire & Police, allocated to early- and late-stage venture capital funds such as StepStone VC Partners XII and Tiger Iron Capital Bay State Fund
Infrastructure and Real Assets Trending Upward: New York State Common and Arkansas TRS made large commitments to strategic infrastructure funds and energy transition-focused investments, reflecting long-term real asset demand
Strategic Asset Allocation Changes: Teachers’ Retirement System of Oklahoma and other plans are shifting toward higher private equity, private debt, and infrastructure targets, with some rebalancing public equities downward
Manager and Consultant Searches Active: Multiple funds launched or advanced RFPs for international equity, fixed income, infrastructure, and general investment consultants, signaling upcoming mandate opportunities
Leadership Updates Across Plans: Transitions include Aaron DiCenzo as interim CIO at STRS Ohio, Saad Alfadly stepping down as CEO of Hassana Investment Co., and several consultant reappointments, indicating changes in future decision-making