Private equity firms see Africa as the next big thing. But now US public pension funds are starting to look at the continent too.
The Wall Street Journal recently reported that one of the largest pension funds in the U.S., the $180 billion New York State Common Retirement Fund, plans to invest about $5 billion in the next five years in Africa. A spokesman for the Office of the New York State Comptroller, Thomas P. DiNapoli, confirmed that the plan is under consideration.
“[We are] considering investing up to 2% to 3% of assets across all sectors of the portfolio in Africa over the next five years, as opportunities arise and meet investment standards,” the statement said. “Africa is home to a variety of emerging markets and the diverse investment opportunities there will each be considered on its merits.”