Ventura County (Calif.) Employees’ Retirement Association approved two follow-on commitments to private credit funds totaling $100 million.
The $8.6 billion pension fund’s board approved the follow-on commitments of $50 million each to Crayhill Principal Strategies Fund III, a private credit fund managed by Crayhill Capital Management, and Cross Ocean European Special Situations Fund V, a special situations fund managed by Cross Ocean Partners at its Oct. 28 meeting, a webcast of the meeting showed.
VCERA originally committed $25 million each to the funds in June 2023 and June of this year, respectively.
In memos to the board included with meeting materials, CIO Dan Gallagher cited the board’s action in May to raise its target allocation to private credit to 10% from 8% as the reason for the additional commitments.
The board in May also raised the targets to domestic large-cap equities to 24% from 22.4% and non-core real estate to 4% from 2%, and lowered targets to international developed markets equities to 10% from 10.8%, core real estate to 4% from 6%, emerging markets equities to 3% from 4.2%, and domestic smidcap equities to 2% from 3.6%.
Targets that remained unchanged are 18% private equity; 9% global equity; 4% each absolute-return fixed income, infrastructure and U.S. aggregate fixed income; and 2% each 10-year Treasury bonds and natural resources.
As of Sept. 30, the actual allocation to private credit was 7.5%.
Investment consultant NEPC assisted.
