Texas Municipal Retirement System, Austin, committed a total of $206 million to two real assets managers.
The $26 billion pension fund at a June 22 board meeting committed $150 million to ISQ Global Infrastructure Fund II, managed by I Squared Capital and which will focus on acquiring brownfields and building infrastructure companies located in countries that are part of the Organization for Economic Cooperation and Development, said Bill Wallace, a spokesman for the pension fund.
Blue Sky Private Equity received a $56 million commitment for Blue Sky Strategic Australian Agriculture Fund. The fund's portfolio managers will seek investments in water entitlements, agricultural infrastructure and growing agribusinesses in Australia.
Texas Municipal's real-return portfolio was close to its 10% target (including unfunded commitments) prior to the addition of the two new funds, board meeting materials showed.
Separately, the pension fund's returns for periods ended March 31 were three months, 3.9% (benchmark, 3.9%); one year, 9.8% (9.2%); three years, 5% (4.8%); five years, 6.2% (6%); 10 years, 6.3% (6.1%) and since inception on Jan. 1, 1989, 8.5% (8%). Multiyear returns are annualized.
