The $6.3 billion San Bernardino County (Calif.) Employees’ Retirement Association is making good on its 4% allocation to credit strategies. The plan last month committed a total of $60 million to a pair of distressed-debt funds

The plan committed $30 million to Angelo Gordon Capital Recovery Partners VI, a $2 billion distressed debt fund, and $30 million to M.D. Sass Waterfall Victoria Fund, a hedge fund investing in less-liquid asset-backed securities.

M.D. Sass launched the fund last year as a follow-on to its two-year-old, $1 billion  Waterfall Eden Fund, which specializes in high-yield and distressed ABS, to take advantage of a potentially large supply of less-liquid ABS available in the marketplace, “as holders ran into some difficulty because of being too leveraged or having redemptions in their funds due to poor performance,” according to a source familiar with the fund.

Jack Ross and Tom Capasse, portfolio managers for Waterfall Eden, also serve as managers for the Waterfall Fund.