Texas Pension Fund Wrangles $290M for Distressed Assets, Mid-Cap PE

The Texas County & District Retirement System in Austin added two more alternative investment funds to its program in June with commitments totaling $290 million.

The larger allocation from the $43 billion pension fund was within distressed assets where it has already added $300 million so far this year. The system currently has a 4% target allocation to the asset class.

Silver Point Distressed Opportunity Institutional Partners II saw a $250 million commitment. The Greenwich, CT. firm Silver Point Capital specializes in credit and special situations investments and launched the niche credit strategy earlier this year, according to regulatory filing documents.

But private equity saw more assets with $777 million committed across global strategies so far in 2023. Most recently, at the end of June, a $40 million commitment was made to KPS Capital Partners‘ KPS Special Situations Mid-Cap Fund II. New York-based KPS specializes in controlling equity investments in manufacturing and industrial companies across industries.