Public pensions double PE commitments in 2018

Institutions in the US and UK made 737 commitments to the asset class between Q1 and Q3, compared with 314 during this period last year, according to eVestment data.

US and UK public pension plans more than doubled the number of private equity commitments they made in the first three quarters of this year compared with the same period last year, according to research from analytics firm eVestment.

The institutions made 737 commitments to the asset class between Q1 and Q3, compared with 314 in that period last year, eVestment data show. The company tracks public pension plan trends by compiling reporting and board documents such as manager presentations, consultant recommendations and allocation changes.

Private equity was the most popular asset class for new commitments in the first three quarters, outpacing the 496 made to equity strategies and 396 to direct real estate.

While the research does not indicate overall demand, given that the total value of the private equity commitments could be less than for other strategies, it does point to activity in the market. Limited partners have told Private Equity International that general partners are returning to market quicker than ever before to take advantage of favourable fundraising conditions.