Top 10 Private Equity Managers for Public Plans in 2021

Public Plans Kept Pace in 2021

Allocations from public pension plans to private equity funds stayed strong in 2021 with over $84.3 billion in reported commitments. While the total came in just under the $85.3 billion reported in 2020, the number of commitments reported increased 13%, from 1,063 to 1,197. Allocations were reported from 146 allocators in 2021, a 5% increase from the previous year signaling that plans who sat out the 2020 vintage are returning to the market and putting capital to work in the asset class.

Top Allocators

Washington State Investment Board (WSIB) was the most active public plan allocator to private equity in 2021 with $6.6 billion in reported commitments. On a per commitment basis, WSIB was also the top allocator with an average of $411 million. The next largest allocator to the asset class was CalPERS with $6.3 billion allocated across 28 commitments.

In terms of number of commitments, Wisconsin Investment Board was the most active plan with 59 reported commitments totaling nearly $4.4 billion.

Top PE Managers for Public Plans

Hellman & Friedman took top spot for 2021 with over $4.5 billion in reported commitments from public plans, primarily to the GP’s latest flagship fund, Hellman & Friedman X. CalSTRS reported the largest commitment to the fund manager with $600 million while six other plans reported commitments of $250 million or more. In total, 31 different plans reported commitments.

Taking second place in the year was TA Associates with $3.4 billion in reported commitments from public pensions. While the GP raised two funds in the year, TA XIV and TA Select Opportunities II, the bulk of the capital raised from public plans went to the former, a reported total of $2.8 billion from 19 different allocators.

Rounding out the top three in 2021 was KKR who raised over $3.0 billion from public plans in the year. Reported commitments flowed primarily to three different vehicles from the fund manager, KKR North America XIII, KKR Asia IV, and KKR Health Care Strategic Growth II. WSIB reported the single largest commitment to KKR from a public plan, allocating $750 million to KKR North America XIII, KKR’s latest flagship fund.