Connecticut Retirement Plans and Trust Funds is mulling new commitments to its real estate and infrastructure portfolios totaling $550m (€473.5m), according to board meeting documents.
This could include a total commitment of $300m into its Smart Markets Fund. The pension fund is planning to approve a $200m commitment to the fund this year with the balance considered for a later date.
The manager of the commingled fund is Core and Value Advisors, which is a wholly owned subsidiary of Stockbridge Capital Group. The fund manager declined to comment.
The Smart Markets Fund was established in 2011 with an open-ended investment structure. It has a net asset value of $3.6bn, through September of last year.
The commingled fund has preserved a strong liquidity position throughout the market cycle, paying out over $700m in redemptions since the first quarter of 2022.
The fund invests in the four main property types – industrial, residential, retail, and office. All of the capital is invested in the US with most of it being in the West, South, and East Coast.
The possible infrastructure commitment is for a total of $250m into the AxInfra NA II open-ended commingled fund.
The plan by the pension fund is to commit $150m to the fund this year and the remaining $100m will be evaluated for a potential further upsize in the future.
The fund has a net asset value of $8.3bn, as of September last year. It invests in middle-market assets across the energy/utilities, transportation, and social sectors.
The fund is currently over-invested in US assets. This is where 93% of the current portfolio is located, versus a long-term target of roughly 85%. The other 7% of the existing portfolio is in Canada.
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