Pennsylvania State Employees' Retirement System, Harrisburg, agreed to commit up to $625 million to five investment funds, confirmed Pamela Hile, spokeswoman for the $27 billion pension plan.
At its Thursday meeting, the PennSERS board agreed to make the following commitments to the two real estate funds: up to $300 million to Henderson Park Enhanced Income Fund, a European real estate fund managed by Henderson Park Capital Management; and up to $100 million to Senior Housing Partnership Fund VI, managed by PGIM Real Estate, which focuses on private pay independent living and assisted living facilities within the senior housing industry.
The board also committed up to $75 million apiece to the following three funds: Primavera Capital Fund III, a private equity fund focused on the technology, financial services, consumer goods, education and health-care sectors; Providence Strategic Growth IV, a private equity fund that seeks lower- and middle-market investments in software and technology-enabled companies in the U.S. and western Europe; and Clearlake Opportunities Partners II, a special situations/distressed debt fund managed by Clearlake Capital Group.
Separately, the board also reported that the fund returned -4.6% net of fees for the year ended Dec. 31. Returns by asset class were: 11.4% private equity, 2.1% cash, -1% fixed income, -1.2% multiasset, -2.3% real estate and -10.4% equities.