Searches and Hires

Sacramento County sets $362 million for enhanced index, alts funds

Sacramento County (Calif.) Employees' Retirement System made new manager hires and fund commitments totaling $362 million, according to a July investment report posted on the pension fund's website.

The $9.2 billion pension fund hired AQR Capital Management to run about $245 million in enhanced index domestic large-cap equities. The hire was the result of a restructuring of the pension fund's domestic equity asset portfolio approved by the board in closed session at its June 20 meeting.

Other moves at that meeting were the terminations of Brown Advisory from a $145 million active domestic large-cap equity portfolio and Huber Capital Management from a $122 million active domestic large-cap value equity portfolio and the addition of about $22 million to an active domestic large-cap value equity portfolio managed by Eagle Capital Management, giving it $283 million.

As of June 30, the actual allocation to domestic equities was 20.2%; the target is 21%.

Separately, the pension fund committed $50 million to ISQ Global infrastructure Fund II, a value-added infrastructure fund managed by I Squared Capital and $32 million to Tailwater Energy Fund III, a midstream energy infrastructure fund managed by Tailwater Capital.

As of June 30, the actual allocation to private real assets was 4.3%; the target is 7%.

Also, the pension fund committed $35 million to TSSP Opportunities Partners IV, a distressed debt fund managed by TPG.

As of June 30, the actual allocation to private equity was 9.2%; the target is 9%.

Steve Davis, chief investment officer, could not be immediately reached to provide further information.