Connecticut Allocates $910M to PE, Credit, Real Estate

The Investment Advisory Council overseeing the $45 billion Connecticut Retirement Plans and Trust Funds allocated to seven private markets funds with mandates totaling $910 million.

Most of the capital was deployed in the state’s private investment portfolio that this year has increased exposure to small and mid-market buyouts and co-investments. Connecticut State Treasurer Erick Russell announced three commitments totaling $500 million.

The fund allocated $150 million to Altaris Health Partners VI; 50 million to Altaris Health Partners VI Co-Investment Sidecar; and $300 million to CT-Top Tier Venture FOF.

Two managers were selected for private credit and fixed income.

O’Brien Staley Partners senior secured loan strategy was selected in the private credit program. OSP IV received a $155 million commitment, while OSP IV-B received a $55 million allocation.

In fixed-income, a $100 million commitment was made to Shenkman Capital’s Shenkman CBO Equity Fund, which is focused on collateralized bond obligations.

In real estate, a $100 million commitment was made to Penwood Select Industrial Partners VII. The fund focuses on the acquisition, management, rehabilitation, and/or development of properties supporting the targeted, supply constrained, Global Gateway ports of Southern California and New York/New Jersey.

“Today’s commitments represent a continuation of the progress being made to maximize fund performance, in addition to new provisions in the recent legislative session allowing us to make some important improvements to the operation of the IAC,” said Russell.