Colorado Fire & Police Pension Pours $95M into Alts Portfolio

The Fire & Police Pension Association of Colorado expanded its real assets, real estate, and private capital portfolios by adding four new funds, according to recently released meeting documents.

The $7 billion pension system committed $95 million while terminating Yiheng Capital Partners’ China-focused long/short equities strategy worth $35 million. Two other long-term investments over $200 million were also disclosed.

In private capital, a $25 million investment was approved for Farallon Capital Management’s Farallon Special Situations Fund III, a $1.75 billion fund that will invest in illiquid special situations across the capital structure.

Pension officials also approved a $20 million commitment to Serve Capital Partners V, a $200 million fund managed by Serve that commits to funds and co-investments from small and lower middle market buyout firms. The fund includes buyout managers who use Small Business Investment Company (SBIC)-controlled buyout tactics.

In real assets, the system allocated $20 million to Arroyo Investors Fund IV and committed another $10 million in co-investment. The $1.25 billion value-added fund focuses on power production and energy infrastructure assets in North America and Chile.

Lastly, in real estate, the ArrowMark CRE Structured Finance Fund received a $20 million investment. ArrowMark’s $250 million fund offers bespoke finance solutions to middle market CRE sponsors.