Monday, 8 February 2016
Last updated 2 days ago
Aug 6 2012 | 11:05am ET
New Jersey's main public pension agency has gorged on alternative investments, committing up to $1.745 billion to seven firms.
The biggest winner was Och-Ziff Capital Management. The New Jersey Division of Investment committed $600 million to the hedge fund giant, to five separate accounts. Between $200 million and $500 million will go to Och-Ziff's bank loan fund OZSC II and up to $200 million to its predecessor, Och-Ziff Structured Credit, which already has some $625 million of the Garden State's money. New Jersey will also invest up to $400 million in a credit strategy, up to $200 million in a real-estate strategy and up to $150 million in a real assets strategy. Exactly how the total kitty will be divided will be determined as opportunities arrive, Pensions & Investments reports.
The division also doubled down on its investment with Arden Capital Management, committing another $250 million to its multi-strategy fund of hedge funds. It committed the same amount to Rock Creek Group's Woodley Park fund, bring its total investment in that vehicle to $750 million.
New Jersey also added a couple of names to its hedge fund portfolio, making initial investments in Dyal Capital Partners and MKP Capital Management; the former will get $200 million and the latter up to $150 million.
Nor did the division ignore private equity, committing up to $175 million to Roark Capital Partners, including up to $75 million in co-investments, and $120 million to Real Estate Capital, including as much as $40 million in co-investments.