CareSuper trims Metrics credit exposure, expects as many as 20 hires

CareSuper is reducing its allocation to domestic private credit manager Metrics Credit Partners in favor of global private credit while planning to recruit as many as 20 investment professionals over the next 12 to 18 months, according to a Bloomberg report cited by Private Equity Wire.

The hires would add as much as a third to the A$65 billion fund's 60-person investment team and cover public and private markets, portfolio construction and active asset allocation across its Sydney and Melbourne offices. CareSuper intends to retain a hybrid model combining internal management with external mandates, so the credit change is a question of which outside managers it uses.

Credit is about 8% of CareSuper's balanced portfolio and infrastructure 12%, the report says. At A$65 billion, an 8% credit sleeve is roughly A$5.2 billion, and a tilt toward global strategies suggests offshore direct lenders have a larger share of that sleeve to compete for. The fund is adjusting its private markets exposure as it weighs higher borrowing costs and market volatility, the report says.

CareSuper is also reportedly holding back new commitments to existing data center investments over valuations and the outlook for the sector. It carries that exposure through digital infrastructure manager DigitalBridge and judges the risks of further investment to have increased as scrutiny of AI-related infrastructure valuations intensifies, according to the report.