Arkansas allocates up to $25m to debt fund

The $14.7 billion Arkansas Teacher Retirement System has committed up to $25 million to a real estate fund managed by Torchlight Investors, according to George Hopkins, executive director of the pension fund.

Torchlight Debt Opportunity Fund VI is a closed-end opportunistic fund that focuses on high yield debt investments in both the public and private markets. The fund will have the ability to opportunistically invest across the entire spectrum of real estate debt strategies.

Aon Hewitt Investment Consultant, the fund’s investment consultant, recommended the commitment.

This was not the pension fund’s first commitment made to a Torchlight fund. Arkansas previously committed $30 million to the fourth fund in Torchlight’s debt series, Torchlight Debt Opportunity Fund IV, in 2013. The fund held a $956 million final close the same year.

Torchlight Debt Opportunity Fund V held a $1.36 billion final close in 2016.

As of Aug. 31, 2017, Arkansas has