Chicago police pension seeks broker for secondaries strategy

The $2.4bn US pension wants to become a seller and buyer of private markets stakes.

Policeman’s Annuity and Benefit Fund of Chicago (PABF) is searching for a private markets broker to help it sell and buy stakes on the secondaries market.

The $2.4 billion pension has issued a request for proposal for a broker to help it “advise on a secondary strategy and process”.

PABF’s private equity and venture capital portfolio was worth $156 million as of 31 December 2015, according to its latest annual financial report. It wants a broker to “identify potential buyers and sellers” and to provide “in-depth analysis on asset/portfolio valuation and reserve pricing.” The advisor must have previously executed private markets secondaries transactions in excess of $250 million in each of the last two years.

Brokers must also be able to gather indicative pricing from buyers and sellers, negotiate terms with interested parties and co-ordinate general partner consent and transfer processes, as well as facilitate deal closing, according to the RFP.

Private equity firms listed as investment managers in the fund’s 2015 financial report include The Carlyle Group, Adams Street Partners and HarbourVest Partners.

Interested firms should submit responses by 1 May.

PABF was established in 1922 to provide retirement benefits to the members of the Chicago Police Department. It has committed at least $133 million to fund of funds, venture capital, growth equity and debt vehicles since 2007, according to PEI data.