San Francisco Employees’ Retirement System (SFERS) has set a pacing plan of $650m (€595.6m) in 2023 for its real assets portfolio, as stated by the pension fund in a board meeting document.
San Francisco Employees Retirement System (SFERS) has set a $650m (€595.6m) real assets pacing plan for the 2032 fiscal year beginning 1 July, according to the pension fund’s meeting document.
SFERS invests through a mixture of funds and co-investment structures within its real assets portfolio which comprises real estate, infrastructure and natural resources.
The amount of capital set aside to invest in real assets in fiscal 2023 acts as a guideline, and the actual total invested may vary depending on opportunities that arise.
From 2020 to 2022, 64% or $866m of the pension fund’s $1.3bn commitments to real assets was in real estate with 33% in infrastructure and 3% in natural resources, which invests in agribusiness or metals/mining.
The plan for real estate is to target niche property types, increase exposure to the industrial sector and monitor opportunities that arise from recent capital markets volatility.
For infrastructure, the pension fund intends to focus on opportunities in digital and energy transition sectors.
SFERS recently approved a $70m commitment to Blackstone Energy Transition Partners IV, a global Blackstone fund seeking to invest in a diversified portfolio of infrastructure assets.
To read the latest edition of the latest IPE Real Assets magazine click here.