Connecticut confirms $425m in commitments

The US pension has backed a trio of private debt funds in its latest round of commitments.

Institution: Connecticut Retirement Plans and Trust Funds
Headquarters: Hartford, US
AUM: $43.7 billion
Allocation to alternatives: 20.5%

Connecticut Retirement Plans and Trust Funds confirmed $425 million-worth of commitments to private debt funds at its July 2021 investment advisory council meeting, a contact at the pension informed Private Debt Investor.

The commitments comprised €150 million to ICG Europe Fund VIII, $150 million to Strategic Value Special Situations Fund V and $125 million to BIG Real Estate Fund II.

ICG‘s eighth series European debt fund is in market targeting €7 billion from investors, with SVP‘s fifth special situations vehicle having raised $4.4 billion across a number of interim closes, surpassing its initial $4 billion equity capital target. BIG‘s second real estate debt fund raised over 70 percent of its $550 million target via its first close in June 2021.

Connecticut has a 5 percent target allocation to private debt which stood at 0.8 percent as of 31 May 2021. The pension’s private debt portfolio has a market value of just under $350 million.

As illustrated below, the $43.7 billion US pension’s recent private debt commitments have targeted vehicles with strategies varying from senior or subordinated lending to those focused on acquiring distressed debt.

Platinum subscribers may click here for the investor’s full profile, including key contacts, allocation strategy and fund investments.