Chicago Police plots another direct lending hire

The US pension fund is interviewing Crescent, Maranon and Monroe for another direct lending mandate, after hiring Alcentra earlier this year.  

The Chicago Policemen’s Annuity & Benefit Fund is planning to hire a second direct lending manager after recruiting Alcentra for a $20 million mandate earlier this year.

At an investment committee meeting this month, the $2.4 billion pension fund requested that Crescent Capital Group, Maranon Capital and Monroe Capital make presentations at the next meeting, according to an e-mail from chief investment officer Aoifinn Devitt (pictured).

Crescent and Maranon were the runners-up in the retirement plan’s initial direct lending search. The size of the mandate for the new manager has not been determined yet.

Los Angeles-based Crescent manages mezzanine strategies, US and European direct lending funds and special situations. The firm has about $18 billion in assets under management and is in the process of raising its seventh mezzanine fund with a $3 billion target.

Maranon and Monroe are both headquartered in Chicago. Maranon handles mezzanine and senior direct lending funds. Monroe invests across the capital structure through private funds, separate accounts and its BDC. Monroe is raising its second private credit fund, which recently held a fourth close on $660 million.

Chicago Police also plans to hear presentations from four finalists in its investment consultant search at the next investment committee meeting, which will be held on 20 June. They include Marquette Associates, NEPC, Pension Consulting Alliance and Wilshire Associates. NEPC is the incumbent, whose contract is set to expire soon.