Illinois Teachers' Retirement System, Springfield, allocated $100 million each to Carlyle Partners IV, a buyout fund, and Shasta Ventures, an early-stage venture capital fund. Jon Bauman, executive director, said the board is likely to make more private equity hires at its Feb. 17-18 meeting, although finalists have not been named. The hirings are part of the $32.7 billion system's ongoing alternative investment program.
Separately, the system is searching for a domestic enhanced equity index manager to run $2 billion as part of a change in investment policy away from pure passive management, said Mr. Bauman. The fund is also searching for a manager to handle $400 million in global Treasury inflation-protected securities. Funding for both managers will come from reducing index funds managed by SSgA and Northern Trust. Further details were not available. Callan Associates' Chicago office is assisting.
The following firms remained on TRS' automatic watchlist: Artisan Partners, which manages $381 million in active international equities, for performance and organizational concerns; Capital Guardian Trust, which manages $597 million in active international equities, for performance; Northern Trust Global Investments, which manages a total of $1.5 billion in four passive funds, due to relevant staff departures; and J.&W. Seligman, which manages a $244 million active domestic small-cap growth equity portfolio, for performance.