Oregon Investment Council, Tigard, which manages the $63.4 billion Oregon Public Employees Retirement Fund, Salem, invested $200 million in the AllianceBernstein All Asset Deep Value Fund and committed $250 million to the Apollo Credit Opportunities Fund, said Michael Mueller, the councils deputy CIO.
The Apollo fund invests in bank debt, while the AllianceBernstein strategy takes advantage of the deep value opportunities created by the residential mortgage bubble and can invest in public equities, fixed income and properties, Mr. Mueller said.
The council expects to commit about $3.5 billion this year to private equity, including commitments already made, based on its annual plan adopted at the councils July 30 meeting, Mr. Mueller said. More commitments through 2008 are very unlikely except possibly on the margins, Mr. Mueller said, since anticipated re-ups will consume the vast majority of the available capital in the coming years. Also, in real estate, the council has committed $1.4 billion of the $2 billion allocated for this year, and the majority of future commitments through years end will to go to existing investment partners.