Name: Maryland State Retirement and Pension System
Headquarters: Baltimore, US
AUM: $62.92 billion
Allocation to private equity: 21.4%
Maryland State Retirement and Pension System has outlined its private equity pacing plan for 2023, according to materials from the system’s 21 February investment committee meeting.
- MSRPS aims to reduce its annual private equity commitment range between $1.5 billion and $2 billion in order to reach its policy allocation of 16 percent.
- The pension system will concentrate its portfolio by working with 14 to 18 fund managers every year.
- MSRPS seeks to reduce its commitment amounts towards large buyout funds to combat overallocation. Meanwhile, it will selectively increase ticket sizes to high-performing small and mid buyout managers.
- The public pension aims to form new relationships with venture capital and growth equity managers while maintaining its portfolio of emerging managers.
- The pension fund will source more co-investments from its existing manager hires.
In 2022, Maryland SRPS committed $2.41 billion to private equity funds, including secondaries strategies. The pension system’s recent private equity commitments feature predominantly North America-focused debt vehicles. These include:
- $75 million to Shamrock Capital Content Fund III
- $100 million to Ares Credit Investment Partnership
- $100 million to Runway Growth Finance
- $50 million to Runway Growth Finance Opportunities Fund I
- $25 million to a co-investment vehicle managed by Bridgepoint
Maryland State Retirement and Pension System allocates 21.4 percent of its portfolio to private equity strategies, amounting to $13.46 billion in capital. The system’s private equity portfolio is managed by Hamilton Lane, a US-based investment consultant.
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