Searches and Hires

Missouri Local Government allocates $60 million for buyout fund

Missouri Local Government Employees Retirement System, Jefferson City, committed $60 million to Riverside Micro-Cap Fund V, a buyout fund managed by The Riverside Co., Brian Collett, chief investment officer, said in an email.

The $7.7 billion pension fund previously committed $31.5 million to Riverside Micro-Cap Fund IV. The fund invests in quickly growing North American companies with enterprise values of up to $10 million.

Separately, LAGERS reported a net return of 13.7% for the fiscal year ended June 30, well above its policy benchmark of 7.93%. For the three, five and 10 years ended June 30, the pension fund returned an annualized net 8.33%, 9.11% and 7.83%, respectively, beating the respective benchmarks of 6.23%, 6.91% and 5.44%. The pension fund returned a net 12.04% in the fiscal year ended June 30, 2017.

Strategic investments led all asset classes, returning a net 23.96% for the fiscal year ended June 30, above its 8.57% benchmark, followed by real assets at 16.75%, above its 6.4% benchmark, public equities at 13.13%, vs.11.08% benchmark and fixed income at 8.18%, vs. 3.76% benchmark.

As of June 30, the actual allocation was: 30% public equities, 20.4% private real assets, 15.2% public fixed income, 11.1% private fixed income, 9.1% private equity, 7.9% public real assets, 3.7% private strategic investments and 2.6% public strategic investments.