University of Houston System committed $15 million total to two alternatives managers on behalf of its $592 million endowment, Raymond Bartlett, treasurer of the system, said in an e-mail.
It also hired Longfellow Investment Management to passively manage about $18.5 million in long U.S. Treasuries, according to materials prepared for Thursday's endowment management committee meeting.
A funding source could not be learned by press time.
Committee members initially chose State Street Global Advisors to run the strategy, but contract terms were not agreed upon, the meeting materials show.
In alternatives, the system committed $7.5 million each to EnCap Energy Capital Fund X and Blackstone Real Estate Partners VIII.
EnCap Energy Capital Fund X is an oil and gas fund managed by EnCap Investments. The system previously committed to other EnCap funds. The sizes of those commitments have ranged from $3 million to $15 million, Mr. Bartlett wrote.
Blackstone Real Estate Partners VIII is a real estate fund managed by Blackstone Group.
Also, the system hired Northern Trust Asset Management to run a Russell 1000 index strategy, replacing SSgA.
The size of Northern Trust's allocation could not be learned by press time. SSgA, which ran $45.7 million in the strategy, was terminated because its management fees exceeded “an acceptable level for an indexed strategy,” the meeting materials state.
