Pension Funds Double Crypto Asset Exposure in Morgan Creek’s Fund to 1%

Morgan Creek Digital now takes up round 1 p.c of the property of two Fairfax Retirement System pension funds – an funding which has greater than doubled since taking their first place in the fund that closed in February.

Two of the three pension funds underneath the system from Fairfax County, Virginia, the Police Officer’s Retirement System and Workers’ Retirement System, invested $55 million in Morgan Creek’s second fund in October.

The brand new allocation got here after seeing good preliminary outcomes from the primary fund, in half due to the efficiency of crypto, which makes up 15 p.c of the Morgan Creek’s investments; the vast majority of the fund’s positions are in blockchain-related infrastructure firms.

“The ultimate shut for fund one was solely in February of this yr, and it’s a quick time-frame admittedly,” Katherine Molnar, chief funding officer of the police officer’s fund, informed CoinDesk.

“It’s gone nicely and a part of that’s due to Morgan Creek’s resolution for the way they’ve timed shopping for bitcoin. The liquid a part of the fund has carried out fairly nicely based mostly on how they’ve timed ramping that up in the portfolio.”

The police officer’s pension fund contributed $22 million of the funding whereas the county staff’ fund put up $33 million. Molnar mentioned $50 million of the funding went to the second fund increase whereas $5 million was a separate co-investment in a selected undisclosed challenge underneath Morgan Creek.

These figures characterize round 1.5 p.c of the police officer’s fund’s 2018 complete property and round 0.eight p.c of the county worker’s fund‘s complete property from the identical yr. For context, each pensions usually put up round 2 p.c of their property in a brand new funding.

This time round, convincing the board to re-up the funding was simpler than taking the preliminary stake.

Molnar mentioned:

“We didn’t have to do numerous additional clarification or dialogue, and…

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