CalSTRS Expands PE Program

March 17, 2008 ( - The California State Teachers' Retirement System (CalSTRS) will expand its private equity manager program - and its relationship with Invesco.

CalSTRS said it will expand its relationship with Invesco Private Capital (see  CalSTRS Looking for Some Private Equity Assistance ) as the manager for its CalSTRS New and Next Generation Manager Fund II, a $200 million private equity portfolio.   Invesco Private Capital has offices in San Francisco, New York, Boston and London.

Invesco Private Capital was selected to construct, manage and monitor the $167 billion fund’s second private equity fund-of-funds portfolio of new and next generation manager partnership investments. New and Next Generation Managers are defined by CalSTRS as private equity professionals seeking to raise their first, second or third institutional fund.

Firm Considerations

According to a press release, Invesco Private Capital will invest a total of $200 million on behalf of CalSTRS over a five-year period, and will consider funds focused on buyouts, venture capital, and other private equity opportunities across a spectrum of stages and industry sectors. The program was described as part of CalSTRS commitment to emerging private equity managers “…whose foundation is to partner with diverse general partnerships that represent the demographics of California”.

“We have worked with the Invesco Private Capital team during the past three years, and I have worked with General Partner Mary Kelley specifically for more than eight years. I’ve been able to see first hand how effective they are in sourcing and evaluating new and emerging fund managers,” said Christopher J. Ailman, Chief Investment Officer, CalSTRS, in a press release. “Invesco will extend our reach, giving new and emerging private equity firms direct access to CalSTRS capital.”

Qualified general partners seeking more information can contact Amit Tiwari of Invesco Private Capital at 415 445-3387.

CalSTRS administers retirement, disability and survivor benefits for California’s 813,000 public school educators and their families from the state’s 1,400 school districts, county offices of education and community college districts.