PSRS/PEERS increases private markets target allocation

Institution: Public School and Education Employee Retirement Systems of Missouri
Headquarters: Jefferson, United States
AUM: $42.23bn
Allocation to alternatives: 25.04%
Bitesize: $10-50m

The Public School and Education Employee Retirement Systems of Missouri has boosted its target allocation to private markets assets from 25.0 percent to 35.0 percent of its total investment portfolio, according to the pension’s April 2020 board meeting minutes. The aim is for PSRS/PEERS to reach its desired private markets target allocation by the end of 2020.

The $42.23 billion US public pension currently allocates 25.04 percent of its investment portfolio to private markets assets, surpassing its old target of 25.0 percent. PSRS/PEERS’ private markets portfolio comprises of a 13.92 percent allocation to private equity; a 9.53 percent allocation to real estate; and a 1.59 percent allocation to private credit.

As illustrated below, PSRS/PEERS has made nine commitments to private equity funds with a 2019 vintage, which combined constitute $612 million.

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