Arizona PSPRS Signals New PE Course

Arizona's Public Safety Personnel Retirement System used its recent board meeting to confront sustained underperformance in its private equity portfolio – which has returned 5.7% over three years against a 19.2% benchmark – and signaled a fall presentation will outline a new course of action. CIO Mark Steed acknowledged that private equity has underperformed broadly across the industry but framed that as context, not an excuse, and noted the fund has already begun switching benchmarks, moving from the Russell 1000 to the Russell 2000 with an additional real assets blend taking effect July 1. The $26.6B pension's board also voted unanimously to issue an RFI for its investment consulting contract with NEPC, which has held the mandate since 2008 without a competitive process.

In other allocator activity, the Ohio Bureau of Workers Compensation issued an RFP for active management of a high yield multi-asset credit mandate representing approximately $1B of the State Insurance Fund, with responses due May 19.

On the GP fundraising side, THL Partners closed its 10th flagship fund at $6.35B, surpassing its $6.25B target and its $5.6B predecessor; Apollo wrapped capital raising for Apollo Accord Fund VII at $1.9B, bringing total commitments for the Accord Dislocation series to $11.6B across vintages; and Haun Ventures – founded by former a16z GP Katie Haun – secured $1B across two funds focused on cryptocurrency, blockchain, and AI-adjacent financial services startups, per Bloomberg.

Ares Management and TPG each provided fundraising updates during their Q1 earnings calls. Ares is accelerating the launch of its fourth US senior direct lending fund, targeting a first close in late Q3 or early Q4. CEO Michael Arougheti pushed back against sector pessimism, saying institutional investors are treating current credit market conditions as an opportunity rather than a risk. Meanwhile, TPG reported Q1 fundraising up 75% year over year to more than $10B and reiterated its full-year target of more than $50B, with capital raising for TPG Capital X, Healthcare Partners III, and its Rise Climate funds all expected to wrap by year-end. The firm also plans to launch its sixth Asia real estate fund in June and a multi-strategy credit interval fund in 2027. 

And in people news, Glenmede appointed Brigid Peterson as director of endowments and foundations, joining from Brown Advisory where she led its endowments and foundations practice for 16 years, and Rest Super confirmed Marina Pasika as permanent head of private markets after serving in the role on an acting basis since October.

Read on for all the day’s fundraising news headlines.

Real assets were the largest allocation bucket in Q1.

Nearly 40% of all capital went to infrastructure and real assets strategies, with a growing focus on energy transition and digital infrastructure.

The driver is structural.

AI and data center growth are creating massive demand for power, storage, and physical infrastructure — and pensions are positioning early.

Dakota’s Public Pension Allocations Report breaks down how allocators are deploying into these themes — from renewables to logistics to digital assets.

Because in private markets today, some of the most important investments aren’t digital. They’re physical.

Download the report →

Endowment portfolios don’t change often.

But when leadership does, everything gets reviewed.

Dakota has tracked a wave of CIO transitions across the endowment landscape — each triggering a 12–18 month window where manager relationships are reassessed and new allocations are considered.

For investment firms, these moments matter.

They represent one of the few times established portfolios are open to change.

Dakota’s latest report maps these transitions alongside broader trends in allocation, governance, and portfolio construction.

Because in institutional fundraising, timing can matter as much as access.

Download the report →