University of Texas Investment Management Co., Austin, expects to increase the allocation to private investments in the $24.8 billion of endowment funds it manages for the University of Texas System by 57% over the five fiscal years ending Aug. 31, 2021.
By fiscal year-end Aug. 31, 2021, aggregate investments and commitments in credit, real estate, natural resources, buyout/growth, venture capital and emerging markets asset classes will total $13 billion, said a report prepared for Thursday's meeting of UTIMCO's board of directors.
As of Aug. 31, the private investments portfolio stood at $8.3 billion or 33.5% of total endowment assets. There are 150 individual fund investments in UT's private investment portfolios, the report showed.
UTIMCO's forward projections for commitments to the private investment portfolio for fiscal years ending Aug. 31 are for $2 billion in 2017; in both 2018 and 2019, $2.1 billion; 2020, $2.3 billion; and 2021, $630 million.
By asset class, UTIMCO expects to invest $2.3 billion in natural resources; real estate, $2 billion; buyout/growth, $1.5 billion; venture capital, $1.3 billion; emerging markets, $825 million; and credit, $650 million, according to the meeting materials. The breakdown by asset class of the 2021 private portfolio portfolio was not provided.
Bruce Zimmerman, UTIMCO's CEO and CIO, declined to comment.
