Pension Protection Fund, London, hired three private equity managers to run energy allocations, a spokesman said.
The spokesman said EV Energy Partners (EnerVest), NGP Energy Capital Management and ArcLight Capital Partners were picked to run an allocation of up to $400 million, split among the three over a period of time.
The £16 billion ($25 billion) fund, which handles payments of defined benefit funds for insolvent companies, issued an RFP in September. The fund has been increasing its investments in private equity in the energy sector.
Executives at the PPF are diversifying the alternatives portfolio, increasing the target allocation to alternatives to 22.5% from 20%. The pension fund’s current private equity target allocation is 4%.