Purpose

The New York State Common Retirement Fund (CRF) created a private equity investment program targeting investment in New York State companies in 1999. CRF through the In-State Private Equity Investment Program, along with 15 private equity funds located throughout the State; invest growth capital in New York State companies. The Fund has committed $425 million to the In-State Private Equity Investment Program and has directly invested $145.6 million in 64 NYS companies. The Program leverages funds from the 15 private equity firms located in the state to raise additional capital for targeting of growth companies spread around the State.

Eligibility   

To ensure that investments meet fiduciary standards, the general partner funds are vetted and selected using minimum standards.  The investment process for its core private equity portfolio requires both CRF staff and its private equity consultants to review investment opportunities.

The Fund employs a broadly diversified strategy for its portfolio to reduce risk.  Investments are made utilizing a variety of strategies and managers from funds of different vintage years.   Private equity comprises the bulk of the CRF's Alternative Investment portfolio.  Private equity generally invests in partnerships that invest in companies not publicly traded.  Strategies include:

• Venture capital - investing in new companies and technologies.
• Corporate finance - leveraged buyouts and financing for established companies seeking capital for expansion.
• Special situations funds - investing in specific industries or following unique strategies - such as mezzanine, distressed debt or the secondary market.

Contact      

Tom McGrath, Director
NYS Office of the Comptroller
(518) 408-3157