State of Wisconsin Investment Board is seeking to sell about $700 million in private equity fund stakes, according to two people with knowledge of the matter.
The holdings are mostly from U.S. and European buyout funds. Some positions are in funds run by Blackstone Group, Carlyle Group, KKR and Charterhouse Capital Partners, said the people, who asked not to be identified because the information is private.
Cogent Partners, an advisory firm based in New York, is managing the sale, according to the two sources. Vicki Hearing, a spokeswoman for the $83 billion Wisconsin board, declined to comment, as did Bill Murphy, a managing director at Cogent Partners.
U.S. pension plans are tapping the secondary market, where investors sell their stakes in buyout funds, as they rebalance their holdings. The $224.1 billion California Public Employees’ Retirement System, Sacramento, and three New York City pension funds — the Employees’ Retirement System, Police Pension Fund and Fire Department Pension Fund — are selling private equity stakes to reduce the number of managers they use and concentrate their investments with the best performers.
The Wisconsin board’s private equity and private debt made up 8.2% of the Core Trust Fund as of April 30, above the system’s 7% policy target.