New Jersey Division of Investment, which manages investments for the New Jersey Pension Fund, Trenton, has made six commitments to alternatives funds totaling up to $1.4 billion.
The commitments were announced Oct. 30 at the quarterly meeting of the State Investment Council, which formulates policies for the division. Each commitment is subject to legal review and negotiation of specific terms.
The division made a pair of private equity commitment for a total of up to $500 million. It committed up to $300 million to NB/NJ Custom Investment Fund IV, a separate account managed by Neuberger Berman. Neuberger Berman is an existing relationship for the pension fund. The division also committed up to $200 million to JLL Partners Fund IX, a middle-market buyout fund. JLL Partners is an existing relationship.
The division also made a pair of real assets commitments totaling up to $400 million, divided evenly between EQT Infrastructure VI and a co-investment sidecar vehicle, both managed by EQT Partners, an existing relationship.
The infrastructure fund will help the pension fund in “diversifying away from volatile, conventional energy investments in real assets,” a division report said. The infrastructure fund will invest in digital infrastructure, renewable energy, transportation, logistics and social infrastructure, the report said.
The co-investment vehicle will help reduce the pension fund’s fees “and allow for a more meaningful and tactical build out of the portfolio,” the report said.
The division also committed up to $300 million to Carlyle Realty Partners X, a real estate fund managed by Carlyle Group, an existing relationship. The real estate fund will focus on residential and industrial properties, the report said.
The division also made a private credit commitment of up to €200 million ($217 million) to ICG Europe Fund IX, managed by Intermediate Capital Group. The fund focuses on European midmarket and upper midmarket companies “largely through debt instruments,” the report said. ICG is an existing relationship.