Private Equity

The $20bn US pension is also considering carving out a new allocation for debt investments.

The World Economic Forum has been studying the impact of private equity on the global economy, and found private investments accelerate industry growth.

The pension negotiated fee reductions with Fisher Lynch before agreeing to commit $500m, using its Private Partnership Investment Principles.

Ruth Horowitz, formerly chief administrative officer for Lehman Brothers’ private equity arm, will help build the back office of the IFC’s new venture.

The women’s apparel company last year rejected an unsolicited offer of roughly $175m from KarpReilly and HIG.