Illinois Teachers’ Pension Invests $1.5 Billion in June, July

The Teachers’ Retirement System of the State of Illinois earmarked over $1 billion for alts.



The board of trustees of the $63.1 billion Teachers’ Retirement System of the State of Illinois approved more than $1.5 billion in investment commitments during June and July, over $1 billion of which will go to alternative investments, according to a news release from the fund.

The Illinois TRS committed over $800 million to 12 private equity investments, $200 million to an investment in its real assets portfolio and up to $650 million to an investment within its global income portfolio.

Never miss a story — sign up for CIO newsletters to stay up-to-date on the latest institutional investment industry news.

Within the pension fund’s $10.4 billion private equity portfolio, TRS committed $150 million to Silver Lake Partners, which manages $685 million in TRS assets, and €130 million ($132 million) to U.K.-based TDR Capital, which currently administers €57 million in TRS assets.

Another $100 million was set aside for Baring Private Equity Asia Group’s Baring Asia Private Equity Fund VIII. Baring currently manages $340 million in TRS assets. The fund also set aside $100 million to Bregal Sagemount, which currently manages $75 million of TRS assets, and committed $60 million to Craft Ventures, which will be split evenly between the Craft Ventures IV fund and the Craft Ventures Growth II fund. Craft Ventures is a new investment relationship for the pension fund.

The pension fund committed a total of $75 million to be divided evenly among three Lightspeed Venture Partners funds: the Lightspeed Venture Partners XIV, Lightspeed Partners Select V and the Lightspeed Opportunity Fund II. Lightspeed currently administers $180 million in TRS assets. Another $75 million will go to Sunstone Partners Management, which manages $45 million in TRS assets, and $50 million has been committed to New MainStream Capital, which is a new investment relationship through TRS’ emerging manager program.

The TRS also allotted $15 million to FinTech Collective and $10 million to Insight Partners, which manage $40 million and $162 million worth of TRS assets, respectively, and $35 million to Leeds Illuminate Advisors, which is a new investment relationship for TRS. It also set aside $10 million to MaC Venture Capital, in another new investment relationship for the pension fund.

Within the TRS’ $12.4 billion real assets portfolio, the pension fund committed up to $500 million to SLR Capital, which currently manages $153 million in TRS assets, and up to $200 million to EQT Exeter, which handles $350 million in TRS assets. And within its $15.3 billion global income portfolio, the pension fund allotted $150 million to Sixth Street Advisors, which currently administers $20 million in TRS assets.

Related Stories:

Illinois Teachers’ Plan Is Looking for EM Managers

Fernando Vinzons Named New CIO at Chicago Teachers’ Pension Fund

$10 Billion Illinois Pension Bailout Request Ignites Controversy

Tags: , , , , , , , , , , , ,

Federal EV Aid Should Be a Big Boost for the Cars

New law, signed by Biden Tuesday, funnels $370 billion to help electric vehicle sales.



Electric vehicles have been increasing in popularity—with 25% of Americans set to buy them as their next autos, per a AAA study. Now Washington is giving an extra push for EVs, under legislation that President Joe Biden signed Tuesday afternoon.

Some $370 billion in health care, tax and climate bill (packaged as the Inflation Reduction Act) will go toward EVs. As a result, “We believe we’re going to see a really rising tide for the entire electric vehicle industry,” Jay Jacobs, BlackRock’s U.S. head of thematic and active equity ETFs, told Yahoo Finance Live. 

The measure will “dramatically bolster the U.S. clean energy industry to ensure our nation competes in the global economy of the future,” said a statement by Ceres, a nonprofit that pushes sustainability. 

EVs and hybrids account for 12.9% of U.S. auto sales in the second quarter, from the year-before period. That is about half the levels in Europe.

Never miss a story — sign up for CIO newsletters to stay up-to-date on the latest institutional investment industry news.

The new federal support comes mainly in the form of tax credits of up to $7,500, although there are restrictions, such as the EVs be made in North America and can’t be too pricey. The bill expands use of a smaller group of incentives.

General Motors and Ford Motor already are embarking on ambitious EV programs. Thus far, the new government EV money hasn’t boosted auto stocks. Tesla, a largely pure-play EV company, is down 18% this year. GM is off 36% and Ford 24%.

 

«