TRS Illinois confirms $575 million in commitments

The retirement system has backed four private debt funds with commitments totalling $575 million.

Institution: Teachers’ Retirement System of the State of Illinois
Headquarters: Springfield, US
AUM: $65.10 billion
Allocation to alternatives: 33.8%

Teachers’ Retirement System of the State of Illinois confirmed $575 million-worth of private debt commitments in Q4, following its December board of trustees meeting.

The commitments were made to four different funds: $150 million to PIMCO Commercial Real Estate Debt Fund II, $150 million to Sixth Street Growth Partners II, $125 million to Apollo Lincoln Fixed Income Fund and $150 million to Cerberus 2112 Loan Opportunities Fund.

A new investment relationship has been established between TRS Illinois and Sixth Street, as it is the pension’s first commitment to the fund manager. The other three institutions currently administer a large capital of the retirement system’s assets.

The system currently allocates 5.7 percent of its total investment portfolio to private debt. The pension’s private debt investments are housed within the wider income portfolio.

The $65.1 billion US public pension’s private debt fund commitments have predominantly focussed on North America.

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