Investment Strategy
The Public Investment Corporation (PIC) is Africa’s largest investment manager, managing approximately $150 billion primarily on behalf of the Government Employees Pension Fund (GEPF) and other South African government entities. The PIC is wholly owned by the South African government and operates under a mandate that combines commercial return objectives with developmental impact.
The PIC’s portfolio is dominated by South African listed equities and government bonds, reflecting both the size of the mandate and domestic investment requirements. Unlisted investments, including private equity, infrastructure, real estate, and private credit, represent approximately 10% of total assets, or roughly $15 billion. This makes the PIC one of the largest alternatives allocators on the African continent.
The private equity program includes commitments to South African, pan-African, and select global managers. Infrastructure investments focus on South African energy, transportation, and telecommunications infrastructure. Real estate includes direct property holdings in South Africa. The PIC has been building its unlisted investment capabilities and expanding its alternatives program.
How to Approach
The PIC’s unlisted investments division operates from Pretoria and manages all private equity, infrastructure, and real estate allocations. GPs seeking a relationship should approach this division with strategies relevant to the South African and African market context.
The PIC’s investment process includes multiple layers of approval, and the organization operates under significant governance oversight given its government ownership and public interest mandate. GPs should be prepared for a thorough due diligence process that includes developmental impact assessment alongside commercial return evaluation.
Managers with South African presence, BEE credentials, and African investment expertise will have the strongest position. The PIC is accessible through the South African institutional investor community and attends major African and global investment conferences.
Frequently Asked Questions
How much does the PIC allocate to alternatives?
The PIC allocates approximately 10% of its total portfolio to unlisted investments including private equity, infrastructure, real estate, and private credit. Given the PIC's approximately $150 billion in total assets, this represents roughly $15 billion in alternative investments, making the PIC one of the largest alternatives allocators in Africa.
How can fund managers approach the PIC?
The PIC's investment team is based in Pretoria. GPs should approach the unlisted investments division, which manages private equity, infrastructure, and real estate allocations. The PIC has a structured investment process with multiple layers of approval. Managers with African expertise, BEE (Broad-Based Black Economic Empowerment) credentials, and South African presence will find the strongest reception.
What is the PIC's mandate?
The PIC is a government-owned asset manager that primarily manages the assets of the Government Employees Pension Fund (GEPF), South Africa's largest pension fund. The PIC also manages investments for other government entities. The PIC's mandate balances commercial return objectives with developmental impact goals, particularly in South Africa.
