The board of the Illinois Municipal Retirement Fund approved $282.5 million in commitments to alternative investment managers at the fund’s May 30 board meeting, allocating the amount across four existing managers and five funds.
The first approved commitment was $50 million to AUA Private Equity Partners’ Private Equity Fund III, which focuses on investments in the lower middle market, targeting minority and family-owned business within the consumer products and consumer services industries.
The combined commitment pushes IMRF closer to its 2023 target of 11.5% to alternatives in the portfolio, which had $54.1 billion in assets under management as of March 31, 2024. The fund had $5.3 billion in alternative investments under AUM as of December 31, 2023, or 10.6% of assets in the portfolio.
The IMRF board’s other commitments were two funds from H.I.G Capital Partners, approving $100 million to H.I.G. Whitehorse Middle Market Lending Fund, a direct lending fund managed by Whitehorse, the direct lending arm of H.I.G, and $35 Million to buyout fund H.I.G. Capital Partners VII.
The board of IMRF also approved 50 million pounds (or what it listed as $62.5 million) in commitments to Inflexion Enterprise Fund VI, which invests in lower middle market businesses across the U.K. Finally, $35 million in commitments was approved to Sterling Group Credit Fund III.
The fund allocates 36.3% of its portfolio to domestic equity, 19.2% to global equity, 23.9% to fixed income, 9.6% to private real assets, and 0.4% to cash equivalents.
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Tags: Asset Allocation, Illinois, Illinois Municipal Retirement Fund, IMRF, Manager selection, Pensions, Private Equity