San Antonio Fire & Police Pension Fund committed $25 million to a direct lending fund, recently released board meeting minutes show.
The $4 billion pension system committed to Hayfin Direct Lending Fund IV, managed by Hayfin Capital Management, at a meeting on Sept. 29. The pension plan has previously committed to the previous three funds in the series.
Investment consultant NEPC assisted.
The board also agreed to launch a private debt search focused on asset-based lending strategies, the minutes show. NEPC recommended in May that the pension fund commit $125 million annually to private debt for the next three years to achieve its target allocation of 9% to the asset class.
So far this year, the pension plan has committed a total of $50 million to two private debt funds: $25 million apiece to the MGG SF Evergreen Fund, run by MGG Investment Group, in August; and GoldenTree Distressed Fund IV, managed by GoldenTree Asset Management, in May.
Additional details on the search were not provided.
Cary Hally, chief investment officer, could not be immediately reached for further information.