Key Takeaways
- • The $3.6B City of Austin Employees' Retirement System (COAERS) hired Albourne Partners as its first private markets investment consultant, following a request for proposals launched in January.
- • Albourne will provide non-discretionary consulting across strategic planning, pacing, portfolio construction, manager selection, and performance evaluation.
- • The mandate supports COAERS' effort to increase private markets exposure, which the board set at 8% target allocation to private equity and 10% to private credit in 2024.
- • The plan's investment committee recommended in November 2024 that the board reduce global equities and multi-asset exposure to fund private debt, with an initial focus on private debt and real assets.
- • Meketa Investment Group remains COAERS' general consultant.
Summary
The $3.6B City of Austin Employees' Retirement System has appointed Albourne Partners as its first private markets investment consultant, according to the pension fund's news release. The selection followed a request for proposals issued in January. Albourne will provide non-discretionary consulting services across the private markets space, including strategic planning, pacing, portfolio construction, manager selection, and performance evaluation.
Christopher Hanson, executive director of the pension fund, said in the release that Albourne's "global expertise, analytical rigor, and deep understanding of private markets will be invaluable as we continue to strengthen the fund and fulfil our promise to members." Publisher reporting describes the fund as having a $3.4 billion AUM in an earlier account of the selection, which differs from the $3.6B figure in the primary release and is noted here for reference.
The move reflects a broader private markets build-out. Materials from a November 2024 meeting indicated that in prior years the plan had no set target allocation to private credit despite being invested in the asset class. That same year, the COAERS Board approved new target allocations of 8% to private equity and 10% to private credit. At the November 2024 meeting, the investment committee recommended reducing exposure to global equities and multi-asset strategies to increase allocation to private debt. The plan stated it was building its private markets program with an initial focus on private debt and real assets.
Meketa Investment Group continues to serve as the pension plan's general consultant.
Christopher Hanson, executive director of the pension fund, said in the release that Albourne's "global expertise, analytical rigor, and deep understanding of private markets will be invaluable as we continue to strengthen the fund and fulfil our promise to members." Publisher reporting describes the fund as having a $3.4 billion AUM in an earlier account of the selection, which differs from the $3.6B figure in the primary release and is noted here for reference.
The move reflects a broader private markets build-out. Materials from a November 2024 meeting indicated that in prior years the plan had no set target allocation to private credit despite being invested in the asset class. That same year, the COAERS Board approved new target allocations of 8% to private equity and 10% to private credit. At the November 2024 meeting, the investment committee recommended reducing exposure to global equities and multi-asset strategies to increase allocation to private debt. The plan stated it was building its private markets program with an initial focus on private debt and real assets.
Meketa Investment Group continues to serve as the pension plan's general consultant.
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