Makena Capital is a perpetual-capital manager that commits about $600 million a year to PE. Buyouts spoke with Managing Director Brian Rodde, who oversees portfolio management and manager selection in buyouts and VC, about first-time fund commitments.

Some LPs, pensions in particular, try to mitigate the risk of first-time funds by committing lower amounts and by betting small parts of their portfolio on emerging managers. What’s your view?

We want to make sure that every investment we make is impactful to our portfolio. We don’t think it makes any sense to make a smaller commitment to a smaller fund [just to avoid] being too concentrated within that fund.

Check out the full article, as published on PE Hub: https://bit.ly/2KT7aoQ