CalPERS Invests Over $17B Across 67 Private Markets Strategies in Q3 2024

The California Public Employees’ Retirement System (CalPERS) deployed a hefty $17 billion into private debt, private equity, and real assets strategies during the third quarter of 2024, according to recent meeting documents.

The $531 billion Sacramento-based pension kept up a brisk pace in the third quarter, deploying capital across 67 mandates. This flurry of activity carried into the fourth quarter, where CalPERS committed to 16 private equity funds, added 10 allocations to private debt strategies, and made four distinct investments in infrastructure funds.

The $17 billion in commitments more than doubles the $7.5 billion invested in private markets during the second quarter, which saw a significant focus on private debt.

The largest allocation went to private equity funds and co-investments, with $12 billion in new investments in this asset class. The biggest commitment, totaling $800 million, was made to Andreessen Horowitz’s Innovation Opportunities fund, which had already received a $400 million commitment from CalPERS in 2023.

CalPERS leaned heavily into private debt in the third quarter, with its largest single commitment going to Oak Hill Advisors (OHA), totaling $3.5 billion across three tailored mandates. This included $1 billion to the OHA Co-Invest Opportunities Fund, $1.2 billion to the OHA Senior Private Lending Fund, and $300 million to the OHA Senior Private Lending Fund CA Lend, all under the OHA CA Customized Credit Fund, L.P. umbrella. In total, CalPERS funneled $3.9 billion into private debt strategies

In real assets, $1.5 billion was allocated across four vehicles: KKR Global Infrastructure Investors V, Global Infrastructure Partners’ GIP Redwood Co-Investment Fund, Kushner Real Estate Group’s KRE Campus Co-Invest, and DigitalBridge Group’s DB SAF C Strategic Partners.