Updated with a correction.
Pennsylvania State Employees' Retirement System, Harrisburg, made two new commitments totaling up to $125 million.
The $29.3 billion pension fund committed up to $75 million to HPS Mezzanine Partners 2019, a global mezzanine debt fund managed by HPS Investment Partners, and up to $50 million to LLR Equity Partners VI, a buyout fund managed by LLR Partners, spokeswoman Pamela Hile confirmed in an email.
It is the pension fund's first commitment to a fund managed by HPS. SERS previously committed $75 million to LLR Equity Partners V.
As of March 31, the actual allocations to private equity and private credit were 15.3% and 1.5%, respectively; the respective targets are 14% and 4%.
Separately, the board Wednesday approved lowering the defined benefit plan's annual assumed rate of return to 7% from 7.125% and assumed rate of inflation to 2.5% from 2.6%, both compounded annually. The changes will be effective with the Dec. 31 actuarial valuation.
