Texas Teachers Pours $460M into Alternative Assets Portfolio
The Teacher Retirement System of Texas has recently allocated $460 million to a variety of alternative investment strategies, with most of the funds allocated to real estate.
Tricon Capital Group’s SFR JV-3 LP received a $150 million commitment from the pension fund’s $30 billion real estate portfolio. The joint venture of the Canadian real estate company is concentrated on residential real estate. In 2021, Texas Teachers allocated $250 million to the firm’s JV-2.
TSP Investment Advisers, a new real estate manager for the pension fund, received a $100 million allocation to its Temerity Strategic Partners Fund.
Officials reported in July that the pension fund’s real estate program has experienced annualized returns of -5.5% through the first quarter of 2024.
A $100 million allocation by the $202 billion Texas Teachers was made to the oil and gas fund Riverbend Kamino PIV, which is managed by the Houston-based Riverbend Energy Group, within the energy portfolio.
Officials committed to two funds in the $34 billion private equity program. An $85 million allocation was completed to VMG Partners’ VMG Consumer VI. The buyout fund targets consumer product and services companies. A second allocation of $25 million was in a co-investment (Stellex Triplepoint Co-Invest) managed by Stellex Capital Management.
