Connecticut Retirement Plans & Trust Funds, Hartford, unveiled four pension fund commitments totaling $500 million for the state's private investment portfolio.
Erick Russell, state treasurer and principal fiduciary of the $47.8 billion state pension system, announced the commitments Wednesday at a meeting of Connecticut's Investment Advisory Council, a news release said.
The commitments are $200 million to K6 Private Investors, a buyout fund managed by K1 Investment Management that focuses on lower-middle-market software companies; $150 million to JFL Equity Investors VI, a buyout fund managed by J.F. Lehman & Co.; and $100 million to One Rock Capital Partners IV and $50 million to One Rock Emerald Fund, both buyout funds managed by One Rock Capital Partners that focus on middle-market manufacturing, industrial, and business services companies in the U.S. and Western Europe.
CRPTF previously committed $125 million to K5 Private Investors in January 2021; $100 million commitment to the JFL Equity Investors Fund V in November 2019; and $125 million to One Rock Capital Partners III in February 2021.
Separately, the pension fund returned a net 4% in the first quarter, matching the performance of its customized benchmark. The pension fund didn't report whether the return was gross or net.
Most asset classes were positive in the first quarter "on hopes that Fed (Federal Reserve) policy tightening would slow given cooling inflation," CRPTF said in an information packet issued at the IAC meeting Wednesday.
The pension fund's $47.8 billion in assets as of March 31 is a $2 billion increase from a year earlier.
As of March 31, the pension fund's asset allocation was 47.8% global equity, 13.6% core fixed income, 11.5% private investment, 8.2% real estate, 5.6% non-core fixed income, 4.6% absolute-return/risk-mitigating strategies, 3.4% private credit, 2.4% emerging markets debt, 2.2% infrastructure and natural resources, and 0.7% liquidity.
For the quarter, top performance came from global equity, with a 7.3% net return; non-core fixed income (4.7%); emerging markets debt (3.1%); infrastructure and natural resources (3.1%); core fixed income (2.6%); and liquidity (1.1%).
The worst performers were real estate (-2.5%), absolute-return/risk-mitigation strategies (0.2%); private credit (0.3%); and private equity (0.9%).