Hartford HealthCare, Hartford, Conn., committed or invested $230 million to 11 managers, said David Holmgren, chief investment officer.
HHC made direct investments of $32 million each with hedge fund managers Balyasny Asset Management and Visium Asset Management for global long/short equities; Greywolf Capital Management, event-driven special opportunities; and Alphadyne Asset Management, global macro.
Funding for the four hedge fund firms will come from hedge fund-of-funds managers Corbin Capital Partners and Evanston Capital Management, which had each managed $65 million. “Hedge funds of funds were excellent performers and a great value proposition when considering the time and resources needed to manage a direct program,” Mr. Holmgren said, adding that its direct hedge fund program is specifically tailored to HHC’s “unique targets and needs.”
Hedge fund consultant Aksia assisted HHC, which oversees $3 billion in pension, endowment and insurance assets.
Additionally, HHC’s committed $17 million to Oaktree Capital Management’s Oaktree Opportunities Fund Xb, a distressed debt fund; $12 million to American Securities Partners VII, a buyout fund; and $10 million each to DBL Partners III, a venture capital fund managed by DBL Investors, and Stirling Square Capital Partners Third Fund, a European middle-market buyout fund.
Mercer advised on the private equity commitments.
In HHC’s economically hedged allocation, a $27 million commitment was made to Starwood Capital Management’s Starwood Global Opportunity Fund X, a global opportunistic real estate investment fund; $14 million to Apollo Aviation Group’s Sciens Aviation Special Opportunities Investment Fund III, an aircraft leasing fund; and $12 million to EnCap Energy Capital Fund X, an oil and gas fund managed by EnCap Investments. The commitments are aimed at moving closer to HHC’s 10% target in economically hedged strategies.