State of Wisconsin Investment Board Earmarks $1.1B to Alternatives with $319M in Real Estate Commitments

The State of Wisconsin Investment Board (SWIB), which manages nearly $138bn in assets for the Wisconsin Retirement System (WRS), the State Investment Fund (SIF) and other state trust funds, recently disclosed that its alternative assets commitments during the third quarter of 2022 totaled $1.1bn.

SWIB committed $116mn to Heitman Life Storage Co-Investment I, a life storage real estate co-investment fund, and $100 million to AIGGRE US Real Estate Fund IV, an opportunistic real estate fund managed by Corebridge Real Estate Investors.

Additional real estate investments included $60mn, $30mn and $13mn, respectively, to BlackChamber Fund II Priority Co-Invest, BlackChamber Real Estate Opportunity Fund II and BC Co-Invest Brambleton Tech Park, all opportunistic real estate funds managed by Black Chamber Partners.

As of the end of September, the allocation to real estate was 10.6%, exceeding its target of 8%.

The remaining allocation to alternative investments was directed to private equity and debt. The $150mn commitment to buyout fund Providence Equity Partners IX, $100mn to Sixth Street Lending Partners, an upper-middle-market direct lending fund, $85 million to Lime Rock Partners V and $83 million to Flexpoint Fund V-A, a private equity fund that invests in middle-market healthcare and financial services companies, accounted for most of the commitments.

As of the end of September, the allocation to private equity and debt was 18.7%, also exceeding its target of 15%.