On the go: The £34.6bn Border to Coast Pensions Partnership, which handles the assets of 11 Local Government Pension Scheme funds worth a collective of £55bn, has committed a further £1.2bn to private markets.
The move is part of BCPP’s private markets programme consisting of private equity, infrastructure and private credit portfolios.
Investments include £593m to four infrastructure funds, £426m to four private equity funds, and £148m to one private credit fund.
Mark Lyon, head of internal management at BCPP, said: “Investing in private markets is an effective way for our partner funds to diversify their investments, generate stable cash flows, and benefit from long-term capital growth.”
Regarding infrastructure specifically, the pool invested $275m (£202.4m) in the KKR Diversified Core Infrastructure Fund, $210m in the Stonepeak Asia Infrastructure Fund, €100m (£83.3m) in the Meridiam Sustainable Infrastructure Europe IV, and $210m in Digital Colony Partners II.
For private equity, it invested $130m in the Strategic Value Special Situations Fund V, $140m in Insight Partners XII, $180m in the HarbourVest Co-Investment Fund VI, and $140m in Baring Asia VIII.
Finally, $208m was invested in Ares Senior Direct Lending II private credit fund.
“We continue to build portfolios that are diversified across strategies, geographies, sectors and size. Particular focus has been given to building strong, long-term relationships with managers,” Lyon said.
“The portfolio incorporates a strong mix of high-quality established managers that can often be difficult to access, alongside sector specialists with deep expertise and emerging managers with differentiated offerings.”
The first two tranches, series 1A and 1B, saw a respective £1.8bn and £1.2bn invested in private markets. These commitments for series 1C take the total assets within the pool’s private markets programme to £5.7bn.
This article originally appeared on MandateWire.com
