Texas ERS Commits to Seven Alts Funds

The Texas Employees’ Retirement System, which manages $36 billion, made $294 million in allocations to secondaries, credit and industrial-focused private equity.

Longpoint Fund III LP and Prologis European Logistics Fund received $55 million and $14 million in real estate commitments, respectively. Longpoint Realty Partners focuses on both retail and industrial properties.

The Prologis fund is Europe’s largest open-ended logistics fund, focusing on distribution facilities near airports, seaports, and highways. The pension system has previously committed capital to the fund.

Longpoint’s sophomore fund closed in 2021 after raising around $669 million, while its debut fund closed in 2019 after raising $280 million.

A $60 million infrastructure commitment was made to Digital Colony’s DigitalBridge Partners III. The fund is dedicated to the telecoms industry. The fund’s goal is to raise $8 billion.

Within credit, the Serenitas Credit Gamma Fund was awarded $50 million, while $25 million was committed to the Tresidor Europe Credit Fund LP.

The Serenitas-managed fund is a relative value strategy focused on mortgage, corporate and synthetic credit. Tresidor Investment Management, meanwhile, manages its European-focused portfolio in credit special situations. The pension system originally allocated $75 million earlier this year.

Industry Ventures Secondary X ($40 million) and American Industrial Partners Capital Fund VIII ($50 million) were chosen for its private equity program. Last month, Industry Ventures closed its $1.45 billion venture capital secondaries fund. American Industrial Partners makes control positions in North American headquartered industrial companies with sales greater than $500 million.

The pension fund, which is currently overweight on its goal allocations to private equity, private real estate, and credit, was up more than 9% for the fiscal year ending September 30.