Sacramento County (Calif.) Employees' Retirement System committed a total of $245 million to seven funds, confirmed Steve Davis, chief investment officer for the $10.3 billion pension plan, in an email.
SCERS committed made the following commitments through June and July:
- $50 million to Harrison Street Social Infrastructure Fund, an infrastructure fund managed by Harrison Street Real Estate Capital that seeks investments in educational, municipal and utility sectors in the U.S.
- $45 million to PSquared Event Opportunity Fund, a diversifying hedge fund managed by P Squared Asset Management.
- $40 million to Silver Point Specialty Credit Fund II, managed by Silver Point Capital.
- $40 million to NGP Royalty Partners, an oil and gas fund managed by NGP Energy Capital Management.
- $30 million to Sculptor Real Estate Fund IV, an opportunistic real estate fund managed by Sculptor Capital Management.
- $20 million to Shamrock Capital Content Fund II, a private credit fund managed by Shamrock Capital Advisors.
- $20 million to CRV XVIII, a venture capital fund.
The board also redeemed a total of $29 million ($20 million in June, $9 million in July) from SC Absolute Return Fund, Series B, a diversifying hedge fund managed by Grosvenor Capital Management. The amount represents nearly all the remaining capital that SCERS has with the fund, Mr. Davis said.
"This Grosvenor mandate was structured as an interim solution while SCERS' direct absolute return portfolio was built out," Mr. Davis explained. "It was intended to be drawn down to fund direct absolute return investments."
The redeemed capital will be used to fund other direct absolute return investments.
Also, three hedge funds were placed on watch as of July 20:
- Lakewood Capital Partners, which runs $37 million on behalf of the plan.
- Winton Capital Management's Winton Diversified Futures Fund.
- KLS Diversified Asset Management's KLS Diversified Fund, both of which manage $33 million.
The Lakewood growth fund was put on the plan's watchlist for performance reasons, while the Winton and KLS diversifying funds were placed on watch because of performance and organizational issues. Representatives from all three management firms could not be immediately reached for comment.
