OP&F Investment notes, August 2023

Ohio Police & Fire Pension Fund investment notes, August 2023

Notes from the Investment Committee meetings on August 30

Portfolio value: The OP&F portfolio was valued at $17.2 billion as of Aug. 29

OP&F commits $75 million to real estate fund
The OP&F Board approved a commitment of up to $75 million to Alterra IOS Venture III, a real estate fund focusing on industrial outdoor storage properties in the U.S. and Canada.

The OP&F real estate portfolio is valued at $1.9 billion as of July 31, or 11 percent of the total OP&F portfolio. This is the first real estate commitment of 2023 for OP&F.

Performance reports presented to Board
The most recent performance reports were presented to the OP&F Board of Trustees at its Aug. 30 meeting. Wilshire, the general investment consultant for OP&F, presented the portfolio performance report for the second quarter of 2023. The portfolio had a net return of 1.3 percent for the quarter. Real estate consultant, Townsend, presented the real estate performance report for the first quarter of 2023 which showed a negative -3.4 percent net return.  Townsend also presented the real assets performance report for the first quarter, which showed a 0.9 percent net return.

$50 million committed to private credit fund
OP&F is committing up to $50 million to Barings North America Private Loan Fund III. The fund provides direct lending exposure within the core U.S. middle market, and focuses on loans to private companies that are predominantly private equity sponsored.

The 2023 OP&F Private Credit Plan target for is $235-285 million and this is the first commitment for 2023. The private credit portfolio at OP&F is valued at $531 million, or 3.0 percent of the total portfolio. The eventual target is 3.5 percent.

Posted 8/31/2023