New Jersey May Stuff $1.8 Billion In Blackstone's Stocking

Dec 12 2011 | 1:54pm ET

New Jersey's public pension funds may play Santa Claus at the Blackstone Group's holiday party this year.

The New Jersey Division of Investment is considering mandates totaling $1.8 billion to the alternative investments giant. Most of the money, $1.5 billion, would go to four managed accounts, with the remaining $300 million invested in three of Blackstone's funds.

The proposed investments offer the New Jersey pensions "significant benefits," among them fee discounts, saving the pensions $122 million over the life of the deal, "the largest single-year commitment by any investor in Blackstone's history," a spokesman for the firm said. Blackstone is already New Jersey's largest alternative manager with $1.1 billion in commitments.

Up to $1 billion of the pension's money will be invested in buyouts and real assets, with $500 million going into energy and credit managed accounts run by Blackstone's credit hedge fund unit, GSO Capital Partners. In addition, New Jersey will invest $150 million in Blackstone Energy Partners I, $100 million in GSO Special Situation and $50 million in Blackstone Capital Partners VI.


In Depth

Q&A: Old Hill's Stone On Private Debt, P2P And Credit Bubbles

Jun 6 2017 | 7:52pm ET

While institutional capital continues to flow into the broader private debt sector...

Lifestyle

CFA Institute To Add Computer Science To Exam Curriculum

May 24 2017 | 9:25pm ET

Starting in 2019, financial industry executives sitting for the coveted Chartered...

Guest Contributor

AIMA: How The U.K.'s SMCR Will Affect U.S. Firms

Jun 20 2017 | 6:29pm ET

U.S. investment managers need to think seriously about how tough new U.K. conduct...

 

From the current issue of