July 2025 Public Pension Brief

Overview

Dakota’s July 2025 Public Pension Brief highlights investment activity across over 1,300 public pension funds nationwide. Key allocations include New York State Common’s $1.1B+ to Thoma Bravo and other private equity funds, Connecticut Retirement’s $1.2B across private credit, infrastructure, and buyouts, and Texas TRS’ $750M+ to real estate and growth strategies. Private credit and venture capital remain strong, with notable commitments to Khosla Ventures, Atlantic Park, and HarbourVest funds. Several plans, including San Antonio Fire & Police and Contra Costa County, adjusted allocations toward private credit and real assets. Leadership updates, consultant searches, and strategic pacing plans signal ongoing evolution in public pension investment priorities

Highlights From July:

New York State Common Retirement Fund committed over $1.1B to private equity and credit, including $300M to Thoma Bravo Fund XVI, $150M to GenNx360 Capital Partners IV, and $200M to WCP NewCold (Real Estate)
Connecticut Retirement Plans allocated $1.2B across private markets, including $300M to Crescent Private Credit, $250M each to HarbourVest Infrastructure and Palistar Digital Infrastructure, and $200M to Reverence Capital PE Opportunities IV
Texas Teacher Retirement System committed over $900M to real estate and growth equity, including $250M to Blue Owl Real Estate Fund VII and $200M to MSD Hospitality Partners
Private credit and structured debt continue to gain traction, with commitments to funds such as Atlantic Park Strategic Capital III, Hayfin HOF II ($150M), and HPS Strategic Investment Partners VI ($100M)
Venture capital allocations rose, highlighted by multiple commitments to Khosla Ventures IX, DCVC VII, CRV XX, and StepStone VC funds from Texas County & District, Delaware PERS, and others
Infrastructure and real assets pacing plans were expanded, with Kansas PERS allocating $210M to timberland and $95M to IFM Global Infrastructure, while Arkansas PERS and San Antonio Fire & Police targeted new secondaries and core infrastructure funds
Strategic asset allocation reviews were active across plans like San Diego City Employees’ Retirement System and San Antonio Fire & Police, with shifts increasing private credit, private equity, and infrastructure while trimming public equities
Leadership and consultant changes included CalPERS naming a new Managing Director of Private Debt, Oregon PERS appointing a new Director of Private Markets, and multiple ongoing RFPs for private markets and international equity mandates