SBCERA to commit $350 million to private equity

San Bernardino has released its 2015 allocation plan for private equity

The San Bernardino County Employees’ Retirement Association has released its 2015 private equity allocation plan, according to the most recent board meeting documents. The association plans to commit $350 million to private equity, an allocation that represents a 16 percent target allocation.

SBCERA plans to target a wide range of private equity investments including distressed debt, direct lending, mezzanine debt, equity buyout, and venture capital.

To date, the performance for private equity since inception includes an IRR of 8.25 percent and a TVPI (total value to paid in capital) multiple of 1.37.

The proposed $350 million commitment to private equity includes commitments to existing relationships ($160 million) with a further commitment of $105 million to the same managers. A remaining $85 million will be available for new relationships.

The $265 million for existing relationships will be spread evenly in commitments to Ares, Aurora, Gramercy, Industry Ventures, Partners Group, Pathway and Tennenbaum.