CalPERS Allocates $1.1B To Private Equity Funds

Dec 13 2007 | 12:04pm ET

The nation’s biggest pension fund recently approved committing some $1.1 billion to three private equity vehicles as part of its alternative investment management program.

According to an internal memo, CalPERS approved $1 billion to Apollo Investment Fund VII, which will be the firm’s flagship U.S. and Western Europe buyout fund and will target investments across industries including chemicals, consumer and retail, and financial and business services. Apollo is looking to raise $15 billion for the fund. 

CalPERS is also committing $140 million to the Ares/CalPERS CLO Vehicle, which will invest in senior debt securities in a leveraged vehicle supported by long-term financing.  “The vehicle should benefit from a difficult banking environment taking advantage of the banks need for liquidity after the subprime write-downs and congestion in the LBO market,” according to the memo.

In addition, the fund is committing $25 million to Audax Credit Opportunities Fund, which will invest throughout the capital structure in the middle market and will have the flexibility to invest in numerous debt instruments through all phases of the credit cycle.


Lifestyle

Survey: Wall Street Banks Still Top Silicon Valley, Hedge Funds for Freshly-Minted MBAs

Jun 21 2016 | 9:01pm ET

Contrary to concerns that Wall Street isn't as appealing to new graduates as it...

Guest Contributor

The Future of the Blockchain in Financial Services Communications

Jun 17 2016 | 1:05pm ET

Over the past year, a large portion of the financial services industry has awakened...