Alaska has $1.35bn for PE

The state has set aside new allocations to private equity, debt and infrastructure and for the first time is searching for managers to invest in timber assets.

The Alaska Permanent Fund has approved $1.35 billion in private equity and credit investments and has engaged its existing general consultant Callan Associates to search for managers to invest in timber assets.  The initiative marks the first time APF has pursued investments in timber.

APF approved a $600 million allocation to new private equity investments to be made through existing gatekeepers Pathway Capital Management and HarbourVest. The new allocation is in addition to the projected $3.1 billion of commitments APF expects to have in place by 30 June.

For fiscal 2012, APF approved a $750 million allocation to private credit investments and has expanded its existing investment policy pertaining to credit opportunity funds to allow for investments in fund of funds in addition to direct investments. 

APF also approved a $400 million allocation to infrastructure for FY 2012.

The Alaska Permanent Fund has a 6 percent target allocation to private equity as of 1 December 2010. The fund’s private equity portfolio is valued at roughly $1.3 billion.