Hollywood (Fla.) Police Officers' Retirement System committed $5 million to Capital Dynamics Global Secondaries VI.
The $453 million pension fund's board approved the commitment to the secondary private equity fund at its March 25 meeting, recently released meeting minutes show.
Investment consultant AndCo Consulting recommended a commitment to a secondary private equity fund because "secondaries show high returns early due to the discount to current net asset value paid by the investor."
This is the pension fund's first commitment to a fund managed by Capital Dynamics.
As of Dec. 31, the pension fund's actual allocation to private equity was 4.4%; the target is 4%.
Brendon Vavrica, senior consultant at AndCo Consulting, could not be immediately reached for further information.
