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Annual Commitment Pacing Plan Template

Create an annual private equity commitment pacing plan using pacing-model assumptions for budgets, re-ups, new managers, liquidity and approvals.

01

Executive plan

Public Pension Investment Office's 2027 annual investment plan establishes a $200m commitment budget and prioritizes disciplined progress toward the 20% private markets target.

02

Starting position

The $5.4bn portfolio begins the year at a 17.6% private markets allocation. Existing NAV, unfunded commitments and expected distributions determine available commitment capacity.

03

Annual objectives

The plan supports a 20% policy target while improving strategy, manager and vintage diversification. Commitments should reflect underwriting quality rather than a requirement to fully spend the budget.

04

Commitment budget

Authorize a total 2027 commitment budget of $200m. Re-ups, new managers, co-investments and secondary purchases are separate additive sleeves; reconcile their sum to this budget before approval. Staff should maintain the underlying pacing model with rolling forecasts of calls, distributions, NAV and allocation impact.

05

Priority re-ups

Reserve $100m across five priority managers. Each re-up must be compared with new-manager opportunities using performance attribution, team stability, strategy fit and current portfolio exposure.

06

New relationships

Allocate $50m across two or three relationships. New relationships should fill documented portfolio gaps and meet the same diligence and governance standards as re-ups.

07

Strategy priorities

The year's strategy priorities are lower-middle-market buyout, private credit, European secondaries and selective early-stage venture. Avoid adding exposure to already concentrated strategies or adjacent vintages without documented rationale.

08

Co-investments & secondaries

Reserve $25m for co-investments and $25m for secondary purchases. Use these allocations selectively to improve economics, deployment timing or diversification.

09

Liquidity capacity

$500m minimum liquid-asset buffer after projected calls

10

Constraints & risks

The principal planning constraints are 2021-2022 vintage concentration, slower distributions and limited venture pacing capacity. Quarterly pacing updates should identify any required deferrals or reallocations.

11

Approval framework

Investment Committee approves commitments above $30m; staff executes within the annual plan

12

Decision requested

Approve the 2027 investment plan and authorize commitments within the stated ranges.