Illinois SURS Eyes More PE, Credit Risk; Minnesota SBI Closes $1.2B in Commitments

Illinois SURS Eyes More PE, Credit Risk

Minnesota SBI Closes $1.2B in Commitments

Illinois' State Universities Retirement System (SURS) has capacity to push further into private equity, private credit, and hedge funds, CIO Michael Schlachter told the board, with roughly 65% of the $27.6B fund liquid within a quarter. The system is building its private credit sleeve toward a 7% target from just under 5% currently, even as trustees pressed staff on the portfolio's defensive positioning relative to peers.

Among other US allocators, Minnesota State Board of Investment closed on $1.2B in primary commitments and $300M in sidecar capital in the second quarter, including capital to Blackstone and Brookfield vehicles and a new private credit relationship with Crestline Investors. Elsewhere, Connecticut Retirement Plans and Trust Funds committed $750M to infrastructure and private credit, adding to existing relationships with IFM Investors and Fortress Investment Group, and concluded its private equity and private credit consultant search by selecting Hamilton Lane.

On the GP fundraising side, HarbourVest launched its fourth credit opportunities fund targeting $1.75B, more than 60% larger than its predecessor; Pinegrove Venture Partners closed its Strategic Investors Fund XII at $1.5B, above target and anchored by the Florida State Board of Administration; and Volition Capital closed its sixth flagship fund at a $950M hard cap, its largest to date, with Massachusetts PRIM and the San Francisco Employees' Retirement System among the contributors, according to Dakota data.

In people news, Tufts University hired Scott Tibert from Cambridge Associates as assistant director of investments; Giant Capital Energy Investment added Elise Raphel, formerly of Five States Energy Company, as head of capital raising and investor relations; and in distribution, Franklin Templeton reportedly restructured its RIA distribution team under Dan Muzzarelli, expanding the unit to 26 professionals.