Connecticut Retirement Plans and Trust Funds (CRPTF) is planning to create a non-core real assets separate account partnership with Morgan Stanley Investment Management and invest up to $125m (€105.6m) per year over a three-year period.
The pension fund said in a meeting document that for each year, it expects to commit $75m to real estate for the value-add and opportunistic co-investment partnership and $50m for infrastructure/natural resources.
Morgan Stanley is expected to contribute 2% of the total commitment, according to CRPTF.
CRPTF said the partnership, which targets a 12% net internal rate of return, is expected to give the pension fund the opportunity to co-invest with existing general partners that CRPTF has made fund commitments. It will also give the CRPTF exposure to new general partners within Morgan Stanley’s network.
To read the digital edition of the latest IPE Real Assets magazine click here.
