Name: Kern County Employees Retirement Association
HQ: Bakersfield, US
AUM: $5.2 billion
Allocation to private debt: 4.7%
Kern County Employees Retirement Association has announced its private markets pacing plan in its latest board meeting materials.
The Bakersfield, California-based pension fund has a 15 percent long-term target allocation for private markets. The target allocation for private debt is 5 percent, with the remaining 10 percent equally divided between private equity and private real estate. They are currently under allocated by 0.3 percent, as their private debt exposure stands at 4.7 percent.
KCERA announced its private credit commitment pacing plan for 2023 and 2024, which would be around $85 million in commitments for the year 2023 and the same for 2024.
The firm also announced its target allocation for strategies within its private debt portfolio. It is targeting 0-15 percent for distressed debt, 40-70 percent for opportunistic and 30-60 percent in senior secured lending.
The pension fund’s recent commitments have predominantly focused corporate debt in the North American region.
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