LP News

A smaller fund means smaller fees, which means potentially less capital to run the organization. And as firms grew over the past five to 10 years, they will face the choice of needing to invest more to continue growing.

SWIB says it expects to increase its private equity and debt commitment pacing to reduce the system’s excess liquidity.

The US state institution aims to invest more in private assets at the expense of its public market exposure.

Buyouts spoke with a spokesperson for the New Mexico State Investment Council to better understand its pacing and co-investment strategy.

The pension fund, which held its biweekly board meeting October 3, said that it would commit $750m to its private equity portfolio.

The sovereign wealth fund will likely have to increase its commitments to the asset class to $1.5bn in FY2025.

The pacing projections were set a week after the system’s investment committee approved a rebalancing of its funds' private equity target allocations.

The fund will create a co-investment underwriting program focusing on private equity assets and increase its private equity commitments by 1 percentage point on a yearly basis.

CERS’s investment committee approved a new plan that would drop the retirement system’s allocation to private equity to 8% from 10%.

The write-down will not impact Alaska Permanent’s private equity strategy, a spokesperson told Buyouts.