SFERS commits $175m to private equity

The allocation will go to two funds

The San Francisco Employees’ Retirement System has approved allocations of $175 million to private equity, according to recently released meeting documents.

The pension system will commit $100 million to KSL Capital Partners IV.

KSL Capital is focused on investing in hotels and related investments. The firm is in market with its latest fund, having raised just over $972 million as of this month, according to Private Equity International’s research and analytics division.

Other known investors in the fund include the Texas County and District Retirement System which committed $40 million in December 2014.

SFERS will also commit $75 million to Fortress’ Japan Opportunities Fund III, which will invest in Japanese distressed real estate loans and related assets in the country. Other known investors in the fund include the Hawaii Employees' Retirement System, which allocated $20 million in December.

The pension system additionally committed $100 million to X2 Resources, a London-based private mining venture that operates a private equity-like structure aimed at acquiring mining assets. X2 has raised almost $4 billion to build its portfolio from a small investor group, which includes private equity firm TPG Capital, alongside sovereign wealth and pension funds.

In October, SFERS committed $90 million in two allocations to Centerbridge Capital Partners and Advent, PEI reported at the time.