New Jersey Pension Fund, Trenton, made up to $987 million in commitments and investments, according to the New Jersey Division of Investment, which manages investments for the $79 billion pension fund.
The transactions were presented in reports Wednesday to the State Investment Council, which governs investment policies of the division of investment, a unit of the state Treasury Department. Christopher Santarelli, a spokesman for the department, confirmed the transactions.
In private equity, the division committed up to $100 million to Catalyst Fund V, which invests in debt and other securities of undervalued Canadian companies and is managed by Catalyst Capital Group. It also committed $100 million to TSG7 A and $25 million to TSG7 B, managed by TSG Consumer Partners. A division report said both focus on “growth capital investments in middle-market companies in the branded consumer products sector” in the U.S. Fund B will concentrate on smaller transactions.
The division also made follow-on investments in three hedge funds:
- Up to $150 million in the Winton Futures Fund, managed by Winton Capital Management. The division previously made a $200 million investment in 2011. As of July 31, the division's investment was worth about $252 million. “The division intends to combine the $252 million with the additional $150 million investment and then potentially transfer the division's interest in the fund to a new institutional fund or separate account managed by Winton,” a separate division report said. The fund invests in global futures, currency, commodities and equity markets.
- Up to $110 million in MKP Opportunity Partners, a global macro hedge fund. The division had made three previous investments totaling $243 million to the fund, managed by MKP Capital Management.
- Up to $100 million in global macro fund Lynx (Bermuda). “As of July 31, and taking into account a $25 million prior distribution, the division's investment was valued at approximately $103 million,” a separate division report said. “The division intends to combine this $103 million with the additional $100 million investment and then to potentially transfer the division's interest in the fund to a separate account managed by Lynx Asset Management.”
The division also committed up to $200 million in Dyal Capital Partners III and up to $100 million in a related co-investment separate account managed by a unit of Neuberger Berman. The fund “will take non-control, minority investments in private equity investment management companies, which is a natural continuation of its existing business in acquiring similar stakes in hedge fund managers,” a separate division report said.
The division had been a “lead investor” in two other Dyal Capital Partners funds, “which have both generated strong returns and cash flows back to New Jersey,” the report said. The division previously committed a total of $450 million to earlier Dyal funds.
Also, the division committed €90 million ($102 million) to PW Real Estate Fund III which is the successor to two Perella Weinberg real estate funds and managed by PW Real Assets, a separate division report said. The fund is independent from the Perella Weinberg Group, the report said. The fund focuses on investing in real estate across Europe.