NY State Pension Commits Over $2 Billion for Private Equity, Real Estate

The Common Retirement Fund also earmarks investments in absolute return and credit.

The $279.7 billion New York Common Retirement Fund committed a little more than $2 billion in investments in February toward the pension’s credit, private equity, real estate, absolute return, and real asset portfolios.

During the month, the pension fund committed $1.2 billion toward its credit portfolio, including $800 million to the Ares SSG Capital Partners VI, L.P. and Ares SSG Excelsior Co-Investment, L.P funds, and $400 million to the Ellington Empire Fund managed by Ellington Management Group.

The Ares SSG Capital Partners VI and Ares SSG Excelsior Co-Investment funds, which are managed by Ares SSG Capital Management, are closed-end funds that invest mainly in special situations and credit investments in the Asia-Pacific region.  And through the  Ellington Empire Fund LLC, Ellington Management Group will invest in various residential mortgage, commercial mortgage, and consumer loan assets, including loans, pools, and securities.

Under the fund’s opportunistic absolute return strategies portfolio, it invested $300 million in the Neuberger Berman Opportunistic Capital Solution Fund, managed by Neuberger Berman Group. The fund offers investors an alternative way to access large allocations of quality growth companies and participate in general partner economics by co‐sponsoring six to eight structurally differentiated special purpose acquisition companies.

Never miss a story — sign up for CIO newsletters to stay up-to-date on the latest institutional investment industry news.

The pension fund also committed $200 million for its private equity portfolio to the Clearlake Capital VII, L.P. fund managed by Clearlake Capital Group. The fund will target investments in the technology, industrials, and consumer sectors, mainly in the US. It also committed $10 million to J-Star No. 5, L.P., which will focus on small-mid Japanese buyout investments among various sectors, and $5 million to the NFX Capital Opportunity Fund I., which will invest in the technology and life sciences sectors in Israel and the US.

Within its real estate portfolio, the pension fund earmarked $200 million for the Artemis Real Estate Healthcare Fund II, managed by Artemis Real Estate Partners. The closed-end diversified fund will focus on value-add healthcare-related real estate investments in the US.

 The pension fund also committed $150 million within its real assets portfolio to the Hull Street Energy Partners II, L.P. fund, managed by Hull Street Energy. The closed-end fund invests in assets and companies in the middle-market power sector that support the regional transition to a decarbonized economy.

Related Stories:

New York Common, NYCERS, and Penn SERS to Divest Russian Investments

New York State Pension Invests Over $2.6 Billion in Alts in December

New York Common Calls on Tesla to Disclose Spending on Discrimination Complaints

Tags: , , , , , , , ,