By David G. Barry
Maine Public Employees Retirement System
has committed to funds focused on infrastructure and direct lending.
The board of the $18.2 billion pension plan approved up to $100 million to Stonepeak Infrastructure Partners’ Stonepeak Core Fund and up to $125 million to Angelo, Gordon & Co.’s AG Direct Lending Fund V, Chief Investment Officer James Bennett confirmed to Markets Group.
MainePERS has invested $465 million in five prior Stonepeak vehicles – including two co-investment funds – since 2015. In 2020, it approved $125 million to Stonepeak Infrastructure Partners IV. MainePERS is not yet listing a return for that fund, but the other four funds have interim net internal rate of returns ranging from 14.2% to 23.8%. Infrastructure currently accounts for 10.5% of the fund, just above the system’s 10% allocation target for the sector.
Over the past four years, the system has invested $372 million in 22 Angelo Gordon vehicles – including a series of $5 million investments in so-called participation agreements. The net interim IRRs for the funds range from 6.5% to 19.9%. MainePERS is slightly underweight to alternative credit – which these funds fall into. It is at 6.7% and has a 7.5% target.