New Mexico State Investment Council, Santa Fe, committed up to $100 million to real estate fund Cortland Partners Growth and Income Fund and up to up to $7.5 million to venture capital fund Kickstart Seed Fund V, said Charles Wollmann, director of communications for legislative and client relations, in an email.
The Cortland fund is a domestic multifamily open-end core-plus real estate fund managed formed in 2018. The council's real estate consultant Townsend Group assisted in the investment.
Kickstart Seed Fund V is a seed-stage venture capital fund managed by Kickstart Capital; the council made the commitment for its New Mexico Private Equity Investment Program, which invests in private equity funds that invest in New Mexico companies. The council has invested with the manager in the past, including to Kickstart Seed Fund IV. The fund seeks to target about 40 companies. Historically, the firm has invested in software-as-a-service companies, but it may also invest in industries with high growth potential, including hardware, consumer products and health care.
Separately, the council made some changes to its $7.1 billion fixed-income portfolio. It moved the $740 million Shenkman Short Duration High Yield fund to its $2.4 billion non-core fixed-income portfolio from its $4.7 billion core fixed-income portfolio. The council also changed the core fixed-income sub-allocation long-term targets to ranges from single-point estimates. The range for core bonds is 20% to 40% from 25%, core bonds-plus is 25% to 65% from 55%, and short duration is 10% to 30% from 20%.
Separately, Bart Stucky, asset class director for fixed income, will be retiring at the end of February after 27 years at the council. Officials are searching for his successor. Open positions are posted on the council's website.
