Nashville (Tenn.) & Davidson County Metropolitan Government Employee Benefit Trust Fund committed $50 million to Oaktree Opportunities Fund X, a distressed debt fund managed by Oaktree Capital Management, said Fadi BouSamra, chief investment officer, in an e-mail.
The $2.8 billion pension fund also made a direct hedge fund investment of $25 million in a long/short equity fund managed by Renaissance Technologies.
Separately, the pension fund announced an overall 8.72% return for the year ended Dec. 31, topping its 6.16% benchmark.
The top-performing asset class for the fund was real assets at 17.9%, followed by private equity at 16.7%. Domestic equities was next at 11.7%, followed by alternative fixed income at 11.1%; long/short equity, 7%; fixed income, 6.1%; and international equity, -4.2%.
The pension fund’s current asset allocation is 22.9% domestic equity, 17.1% alternative fixed income, 16.1% international equity, 12.6% fixed income; 10.9% real assets; 10.5% long/short equity; 9% private equity; and 0.9% other.
Targets allocations are 37.5% domestic and international equity; 15% each alternative and traditional fixed income; 12.5% real assets; and 10% each long/short equity and private equity.
