UNITED STATES - The Pennsylvania Public School Employees Retirement System has decided invest as much as $150m (€109.8m) in the CS Strategic Partners V.
The commitment, for which no final contract has been signed, would be for 25% of the committee capital for the commingled fund. The total capital raise for Strategic Partners V is projected to be $3bn.
Part of the investment strategy for the fund is to purchase secondary interests in mature, high-quality real estate and mezzanine investment funds from investors seeking liquidity.
The fund will target investment opportunities in the US and western Europe.
Credit Suisse is the manager of Strategic Partners V. It typically invests in mature commingled funds, which has allowed it to make distributions in nearly every quarter since inception.
The manager has held this investment strategy since 2000 - since then, it has invested $6.7bn worth of capital in 534 secondary transactions.
The new commitment would be the fifth investment made by Pennsylvania Public School in a secondary fund managed by Credit Suisse.
Returns on these investments have included a 36.8% gross internal rate of return (IRR) a gross 1.79x multiple for Strategic Partners II, and a 16.4% gross IRR and a gross 1.22x multiple for Strategic Partners IV.
These investments were made in 2003 and 2008, respectively.