Minnesota State Board of Investment, St. Paul, committed a total of $2.6 billion to 21 alternative investment funds from the state's $94.1 billion combined defined benefit plan asset pool, a report showed.
Board trustees approved the commitments recommended by the board's investment advisory committee during a board meeting Feb. 24, confirmed Mansco Perry III, executive director and CIO, in an email.
The SBI combines private equity and private credit strategies in a portfolio that accounted for 26.6% of the defined benefit plan's asset allocation as of Dec. 31.
The largest private equity allocation was an additional $250 million to Asia Alternatives Management's MN Asia Investors, a separately managed account. This is the board's second follow-on allocation for a total of $450 million committed to the fund.
Private equity commitments of $150 million each were awarded to Advent International GPE X; Blackstone Capital Partners IX and Blackstone Growth II; Brookfield Asset Management's Brookfield Capital Partners VI; and Welsh, Carson, Anderson & Stowe's WCAS XIV.
Three European-focused private equity funds received commitments of €90 million ($101 million) each: Bridgepoint Europe VII; IK Partners' IK X Fund; and Nordic Capital XI.
The SBI's investment officers also earmarked $100 million each to the following private equity funds: Apax Partners' Apax XI; Clearlake Capital Group's Clearlake Capital Partners VII; KKR & Co.'s KKR Core Investments Fund II and KKR European Fund VI; Siris Capital Group's Siris Partners V; Thoma Bravo Fund XV; TPG Capital's TPG Partners IX; TSG Consumer Partners' TSG9; and Wind Point Partners X.
In private credit, investment officers committed $200 million to Oaktree Capital Management's Oaktree Special Situations Fund III; and $100 million each to HPS Investment Partners' HPS Strategic Investment Partners V and Varde Partners' Varde Fund XIV.
In addition to managing the state's public pension funds, the SBI manages $10.2 billion in state defined contribution plan assets and $31.4 billion in other state funds.
