The $43 billion Connecticut Retirement Plans and Trust Funds made two key investments within its private investment and infrastructure and natural resources portfolios at this month’s Investment Advisory Council (IAC) meeting.
Officials also recommended retaining current consultant Meketa, following an RFP process for general consulting and real assets investment consulting services.
Connecticut State Treasurer Erick Russell announced a $175 million commitment to Vistria Fund V, a small to mid-market buyout fund. A $200 million commitment to Global Infrastructure Partners V was approved by the treasurer’s office as part of the pension fund’s infrastructure and natural resources program.
“I appreciate the role the IAC played in reviewing and evaluating these additions to our investment portfolio,” said Treasurer Russell. “I believe these funds align well with our priorities and demonstrate solid long-term growth potential.”
Over the past decade, the Connecticut Retirement Plans and Trust Funds has shifted its portfolio away from equities, which now total 45% of overall assets. This is as private equity has averaged 8.9% of assets over the last decade, according to a report from Meketa. The allocation has been gradually increasing. The real estate allocation was about 5% in 2013 but has gradually grown to the current allocation of 8.5%.
“There’s no doubt that the market remains volatile,” said Treasurer Russell. “It’s important that the CRPTF remain focused on smart, strategic diversification, and we’ll continue to evaluate a broad scope of investment opportunities to continue to meet that goal.”
At the same IAC meeting, trustees heard presentations on private equity opportunities: JFL Equity Investors VI, LP; K6 Private Investors, LP; One Rock Capital Partners IV, LP; and One Rock Emerald Fund, LP.