University of Michigan, Ann Arbor, disclosed $185 million in alternative and absolute-return commitments from its $12.3 billion long-term endowment pool ahead of its Thursday board of regents meeting.
The commitments were made from July through October to five existing fund managers. UM's investment office has authority to invest in new funds and strategies offered by existing managers without board approval, board documents show.
In absolute return, the university committed $50 million to Tybourne Strategic Opportunities Fund, a Hong Kong, China-based fund managed by Tybourne Capital Management that invests in less liquid or private opportunities in the Asia-Pacific region.
In alternatives, the university committed $50 million to Related Real Estate Fund III, which is managed by Related Cos. and invests in underperforming assets.
Also, the university committed $25 million to Orion Mine Finance Fund III and $25 million commitment to Orion Mine Finance Co-Fund III. The Orion Resource Partners-managed funds look to finance the construction of later-stage mine projects through a combination of debt, equity and production-linked investments.
Lastly, the university committed $25 million to Ecosystem Investment Partners IV, a natural resources fund that makes investments to capitalize on the land-based environmental offset markets, and $10 million to Anduin Opportunities SPV II, a venture capital fund with an investment focus primarily on differentiated, emerging areas of interest, such as the crossover between information technology and life sciences, and the "smart enterprise" sector, managed by 8VC, according to a summary from Kevin P. Hegarty, the university's executive vice president and the chief financial officer, on the university's website.
