LACERS Moves to Close Private Credit, Real Assets Gaps; North Carolina Deploys $15.1B

LACERS Moves to Close Private Credit, Real Assets Gaps

Los Angeles City Employees' Retirement System (LACERS) is advancing manager searches to close shortfalls in private credit and real assets, with a $1.35B global listed infrastructure search – split between passive and active mandates – moving toward finalists including BlackRock, Cohen & Steers, DWS Group, and Nuveen. A private credit sleeve recommendation is also in the pipeline as the pension works to close a roughly $935M gap to target. At the same time, trustees signaled a preference for less active risk in the pension's US small cap book, directing its consultant to compress tracking error and review high-risk incumbent managers.

Among other allocators, the North Carolina Investment Authority disclosed $15.1B in new and incremental commitments since May across public and private equity, real estate, credit, infrastructure, and multi-strategy allocations; and San Diego City Employees' Retirement System approved $75M in new private equity commitments and is shifting its 2027 real estate plan toward non-core equity and debt strategies while redeeming from several core vehicles.

On the GP fundraising side, Jefferies Credit Partners secured approximately $4B in lending capacity for its European direct lending strategy, anchored by the first close of its inaugural European Direct Lending Fund with commitments from Allianz Global Investors. EIG closed Senior Infrastructure Debt Fund VI at $4B, nearly double its predecessor and well above its $3B target; and J.P. Morgan Asset Management closed J.P. Morgan Net Lease Real Estate Fund II at $1.1B, exceeding its $500M target.

In people news, Orange County Employees Retirement System hired Ryan Montalbano as investment officer for real assets from Goldman Sachs Asset Management; and CVC Capital Partners named Todd Sisitsky and Peter Rutland as co-CEOs designate, set to succeed current CEO Rob Lucas by the first quarter of 2028. Sisitsky joins from TPG, where he has served as president since 2021, while Rutland, a 19-year CVC veteran, currently serves as the firm's president.