New Jersey Division of Investment is planning to issue commitments into Morgan Stanley’s core open-ended US fund and EQT’s latest global fund.
The pension fund said in a meeting document that it is considering a $200m (€164m) commitment to the Morgan Stanley Prime Property Fund and a $160m commitment to the EQT Infrastructure Fund V, a fund with a $12.5bn fundraising target and $15bn hard cap.
New Jersey said it believes Morgan Stanley has been a strong manager with the fund as it has beaten the ODCE Index over the 1,3,5 and 10-year investment periods. The pension fund has in the past invested in Prime Property Fund and redeemed from the fund.
The Prime Property Fund had a net asset value of $26.7bn as of the end of 2020.
An investment Prime Property Fund would help New Jersey move towards its 2021 goal of having core real estate making up between 30% to 35% of its total private real estate portfolio.
New Jersey said it believes investing in the EQT fund will help the pension fund move into sectors like digital and renewables and capitalise on the early trends with social infrastructure.
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