Virginia Retirement System, Richmond, committed $600 million total to four managers in recent weeks, spokeswoman Jeanne Chenault confirmed.
In the real assets program, the $59.7 billion pension fund committed $200 million to a Pantheon Ventures separate account for infrastructure investment, which will include secondary positions, Ms. Chenault said.
VRS also committed $150 million to the Lone Star Real Estate Fund III, a real estate private equity fund managed by Lone Star Funds that concentrates its investments in commercial real estate debt and equity in the U.S. Another $100 million was committed to EIG Energy Fund XVI, a private equity energy fund managed by EIG Global Energy Partners.
For the credit strategies program, VRS hired BlueBay Asset Management, a London-based fixed-income investment firm, to run $150 million.
At its meeting Thursday, the trustees approved employer fiscal 2015-2016 contribution rates for the two largest plans covering state employees, whose employers would contribute 15.8%, and teachers, whose employers would contribute 18.2%. The General Assembly will only be able to commit funds to reach 80% of that contribution rate target over the next two fiscal years, but will increase funding in the following two-year cycle that should reach 90% of the target contribution rates, Ms. Chenault said. The state workers' plan is 65.1% funded, and the teachers' plan, 62.1% funded, as of June 30.