Border to Coast Pensions Partnership has launched two private market offerings with over £1bn of commitments from its partner Local Government Pension Scheme (LGPS) funds.
The £46bn local authority pool opened a £500m private equity offering in May alongside eight partner funds, targeting a diversified global portfolio across buyout, special situations, growth and venture strategies.
This month, it opened a £675m infrastructure offering, working with 10 partner funds to invest over the next nine months in a diversified global portfolio across core, core plus, and value-add or opportunistic strategies.
Border to Coast anticipates investments will begin over the summer, following due diligence on a "number of suitable investment opportunities", with the allocations growing to £10bn in the long-term.
The LGPS pool said the key aims of its private markets structure include enhancing risk-adjusted, net-of-fees returns through economies of scale, increased resources for due diligence, and access to a wider range of investments.
Chief investment officer Daniel Booth said: "I am grateful to Mark Lyon, our head of alternatives, and the wider Border to Coast team for their hard work and dedication in setting up our alternative investment platform in such a tight timeframe, which will allow us to begin investing into the exciting range of opportunities we are currently reviewing."
The launches came after 15 months working with around 200 managers, and the development of a "robust" investment process incorporating responsible investment.
The pool manages assets for 12 partner local authority funds: Bedfordshire, Cumbria, Durham, East Riding, Lincolnshire, Northumberland, North Yorkshire, South Yorkshire, Surrey, Teesside, Tyne & Wear, Warwickshire.
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