South Carolina awards mandate to DE Shaw

The South Carolina Retirement System Investment Commission has committed an undisclosed amount of capital to DE Shaw to be invested across a diverse range of investment strategies.

The South Carolina Retirement System Investment Commission has awarded a “strategic relationship mandate” to DE Shaw.

The global investment firm has been allocated an undisclosed sum of capital for investment across its alternative and bench-mark relative strategies.

“We look forward to enhancing and diversifying our investments with the DE Shaw group through an array of absolute return, direct capital, private equity, real estate, long-only, and 130/30 opportunities,” said the pension’s chief investment officer Bob Borden in a statement.

The retirement system has a similar strategic partnership with Morgan Stanley. Set up as a separate account, Morgan Stanley invests in a wide range of high expected risk-adjusted alphas in liquid, private US, non-US, registered and unregistered funds on behalf of the pension.

The South Carolina Retirement System Investment Commission was created in 2005 and is exclusively responsible for investing and managing the more than $29 billion in assets of the South Carolina Retirement System.

The state pension fund has a 30 percent allocation to alternatives including 5 percent to private equity. Private equity investments were exclusively domestic until the policy was altered in the first quarter of 2006.

The South Carolina Retirement System Investment Commission made its first commitment to an international private equity fun in March 2007 with a $100 million commitment to Aquiline Financial Services Fund, a $1.1 billion venture capital fund.