KCERA Adds $40M to Real Assets Fund

The Kern County Employees’ Retirement Association (KCERA), which oversees $5 billion in assets, approved a $40 million commitment to a new real asset fund.

The Bakersfield, CA-based pension system does not have a dedicated real assets portfolio but made the private asset investment as the private equity and private credit programs have grown to $203 million and $260 million, respectively, and are both below their asset allocation targets, according to documents.

ITE Rail Fund, managed by ITE Management, a transportation and industrial asset manager, received the $40 million mandate upon the recommendation of consultant Cambridge Associates.

The firm focuses on industrial transportation and infrastructure, particularly rail investing. In its most recent transaction, the company collaborated with Sumitomo Mitsui Financial Group to purchase SMBC Rail Services from SMBC Americas Holdings.