Indiana Public Retirement System, Indianapolis, disclosed $360 million in private markets and real assets commitments for its $39.2 billion defined benefit plan in materials for its board meeting on Friday.
The system's investment staff in February and March committed $150 million to Ares Pathfinder II, a private credit fund managed by Ares Management; $100 million to KKR Diversified Core Infrastructure Fund, an open-end infrastructure fund, $50 million to its co-investment sidecar fund, and $10 million to KKR Project Quartz Co-Investment, a private markets co-investment fund investing in a tank depot company merging with two complementary companies, all managed by KKR & Co.; and $50 million to Longpoint Specialty Grocer Fund I, a core real estate fund managed by Longpoint Realty Partners.
As of March 31, the DB plan's actual allocations to private markets and real assets were 17.1% and 7%, respectively; the respective targets are 15% and 10%.
Separately, within public equities, the system terminated Disciplined Growth Investors from a $390 million active domestic midcap equity portfolio. According to board materials, the termination was the result of active/passive research and the retirement system's public equity team having conviction in passively managed domestic large- and midcap equities.
Assets are being moved to existing manager RhumbLine Advisers, which will run passive domestic midcap growth equities. The manager ran $226 million in passive domestic midcap value equities for the DB plan as of March 31.
As of March 31, the DB plan's actual allocation to domestic equities was 11.8%; the target is 12.2%.