Texas Teachers’ Retirement Pumps $149M into Alts Portfolio

The Teacher Retirement System of Texas has invested an additional $149 million in alternative investments across its real estate, infrastructure, and private equity portfolios.

In real estate, the $185 billion Austin-based pension fund invested $75 million in a new opportunistic manager, Inceptiv Management. On March 18, Inceptiv RED 2 was launched with pension fund financing. Inceptiv provides specialized funding to private equity and real estate fund managers and independent sponsors.

Global Infrastructure Management, the existing manager of the energy, natural resources, and infrastructure portfolio, received a $33 million commitment for its GIP Pegasus Fund. The fund focuses on core European investments. In January, the firm, also known as Global Infrastructure Partners, agreed to be acquired by and merged with BlackRock.

Two commitments were made to existing managers in private equity. Leonard Green & Partners received a $25 million allocation for its Green Equity Investors (GEI) IX TC Coinvest LP, a buyout-focused co-investment fund.

Oakley Capital received $16 million for its Oakley Capital V Co-investment (B). The fund is focused on European buyout investments, but only on co-investments, which has been a recurring theme at the Texas pension.

Last month, the pension fund committed up to $250 million to two real estate vehicles and one venture capital fund. In January, it added over $600 million to industrial real estate and buyout funds.