[RFP] POBA to allocate $150 mn to global PEFs

Jul 24, 2019 (Gmt+09:00)

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The Public Officials Benefit Association (POBA) plans to commit around $150 million to global blind-pool private equity funds to invest in buyout/growth, secondary and income strategies.

For the income strategy, POBA specified that it would focus on junior and mezzanine tranches for a target dividend yield of 5% per year, or a net internal rate of return of over 10%, according to its announcement on July 18.

It rules out senior loan, real estate and infrastructure investments for the mandates. [download id="6610"].

Last year it issued a similar request for proposals for $150 million mandates to invest in buyout/growth, secondary and co-investment.

The $11 billion retirement fund added that it would prefer a global investment firm with an office in South Korea and selected fund houses needed to achieve at least 60% of their fundraising target within one year, as it stated in last year’s RFP.