The New York Common Retirement Fund committed more than $1.5 billion in investments during May within its private equity, fixed-income, credit and opportunistic absolute return strategies portfolios, according to the fund’s monthly transaction report. It also cashed out $500 million from a T. Rowe Price investment within its public equity portfolio.
The pension fund committed $400 million within its private equity portfolio to the Vista Equity Partners Fund VIII, L.P., managed by Vista Equity Partners Management. The fund will target investments in enterprise software, data and technology-enabled solutions companies primarily in North America. The pension also set aside $5 million to S Capital III, L.P. through the Hamilton Lane NY Israel Fund. The fund will seek to invest in the Israeli technology sector.
Within its fixed-income portfolio, which is primarily managed internally, the pension fund provided $350 million in initial funding to new external fixed-income manager Ramirez Asset Management, which was selected to run a municipal bond mandate. Between May 23 and May 31, Ramirez purchased a mix of municipal bonds and Treasuries and is now fully invested in long-term securities, the report says.
Another $300 million was committed within the credit portfolio to the CVI Clean Energy Fund B II, LP managed by CarVal Investors. It is a credit strategy fund that aims to capitalize on opportunities in clean energy, renewable energy and energy storage.
Within its opportunistic absolute return strategies portfolio, the pension fund committed $350 million to the B Capital Group Global Growth III fund from B Capital Group Management. The fund is a private equity strategy that will invest in technology-enabled companies at the early growth to growth stage. The fund expects to invest in 25 to 35 core portfolio companies targeting $25 million to $100 million per investment.
The CRF is investing another $50 million in B Capital’s B Capital Group Ascent Fund II, which intends to make early/seed-stage venture capital investments in business-to-business technology-enabled emerging companies with a focus on the U.S. and Asia. The fund is looking to make series A lead or co-lead investments in 30 to 40 companies with $500,000 to $5 million.
Within the CRF’s emerging manager program, which invests in newer, smaller and diverse investment management firms, $100 million was committed to the BIG Real Estate Fund II, LP managed by Basis Investment Group. The fund is a high-yield debt strategy that will invest in conduit CMBS-b pieces, levered bridge loans, preferred equity and mezzanine debt.
The fund’s report also says it reduced an account with T. Rowe Price within its global equity portfolio by $500 million, which was then allocated to cash. The account value at the time of reduction was approximately $1.58 billion.
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Tags: Credit, Fixed-Income, New York Common Retirement Fund, opportunistic absolute return strategies, Pension Fund, Private Equity, Ramirez Asset Management