Virginia taps Jackson Square for equities, commits to KKR real estate debt fund

Virginia Retirement System, Richmond, hired Jackson Square Partners to run $350 million in active domestic small-cap growth equities, said an investment report from the pension fund's Monday board meeting.

The $80.4 billion pension fund hired the manager April 1 following the earlier termination of TimesSquare Capital Management from a $413 million active domestic small-cap growth equity portfolio. The reason for the termination, and how the additional assets were reallocated, could not be immediately learned.

As of March 31, the pension fund's actual allocation to public equities was 40.2%.

Separately, the pension fund committed $150 million to KKR Real Estate Credit Opportunity Partners II, a real estate debt fund managed by KKR & Co.

As of March 31, the pension fund's actual allocation to real assets was 13.7%.

Also, the pension fund terminated Oaktree Capital Management (OAK) from a $467 million convertible bonds portfolio. The reason for the termination, and how the assets will be reallocated, could not be immediately learned.

As of March 31, the pension fund's actual allocation to fixed income was 15.9%.

Jeanne Chenault, pension fund spokeswoman, was not available to provide further information.