Indiana Public Retirement System, Indianapolis, reported investments and commitments totaling $3.3 billion to seven money managers running nine strategies from the system's $41 billion defined benefit plan, meeting materials for a Feb. 18 board meeting showed.
INPRS investment officers have discretion over investments.
The largest allocation by asset class was $2.9 billion to commodities strategies from the system's $4 billion commodities portfolio.
INPRS' staff invested $1.2 billion in a gold strategy managed by Gresham Investment Management, an existing manager; $1 billion in a diversified commodities fund run by Wellington Management, a new manager for INPRS; and $700 million with existing manager CoreCommodity Management in a gold fund.
Wellington replaced Gresham for management of a diversified commodity fund after Gresham was terminated for management of a $1.2 billion diversified commodity fund after a search, the INPRS report said.
INPRS' investment officers refer to the system's commodities investments as notional because they represent the economic exposure the team seeks in each mandate, said Dimitri Kyser, the system's spokesman, in an email.
"These mandates utilize various derivative instruments that allow INPRS to leverage our invested capital within the parameters set in our investment policy statement. As a result, when referencing how much INPRS has invested with these managers, the notional amount is the most representative number," Mr. Kyser said.
The fund's real estate investment team committed a total of $250 million to four funds managed by three firms from INPRS' $4 billion real assets portfolio, which includes real estate and infrastructure.
The largest real estate commitment was $150 million to Hackman Capital Partners, with $100 million earmarked for the Hackman Capital Partners Studio Fund, whose portfolio managers will seek investments in studio properties and media assets primarily in California, New York and London. The remaining $50 million was committed to Hackman Capital Partners Studio Fund Co-Invest Sidecar, which will invest alongside the main fund, the INPRS report said.
Hackman Capital is a new manager for INPRS.
INPRS committed $50 million each to new real estate funds run by existing managers Asana Partners Fund III and TA Realty Core Property Fund.
Managers of Asana's closed-end real estate fund will focus on investment in U.S. mixed-use neighborhoods with retail and service amenities. TA Realty's closed-end fund will target properties in industrial, multifamily, office and retail sectors in major U.S. metropolitan areas.
Existing private equity manager Sumeru Equity Partners received a total commitment of $138 million to two funds from INPRS' $5.8 billion private markets portfolio which includes real state and private credit. Sumeru Equity Partners Fund IV will invest $110 million in equity investments in technology-driven middle-market companies, while SEP Heartland IV Co-Invest portfolio managers will invest $28 million alongside the main fund.
INPRS managed a total of $48.5 billion as of Dec. 31. In addition to the $41 billion defined benefit plan, INPRS oversees management of the system's $7 billion defined contribution plan and $495 million in other funds.
