University of Michigan, Ann Arbor, disclosed up to $275 million in alternative and absolute-return commitments from its $18.2 billion long-term endowment pool, according to documents from its board of regents meeting.
The commitments disclosed on Oct. 19 were made in June and July to four existing fund managers. UM's investment office has authority to invest in new funds and strategies offered by existing managers and direct investments that represent less than 1% of the endowment pool, without approval by the board.
The university committed up to $100 million to a fund managed by Rubicon Founders, a private equity firm that invests in healthcare companies.
A UM spokesperson could not immediately be reached to provide further details about the Rubicon commitment, or any of the other disclosed commitments.
The university also committed up to $75 million to a fund managed by O'Brien-Staley Partners, a private credit firm that purchases small balance commercial and industrial loans.
Moreover, UM disclosed two commitments of up to $50 million, including one to a fund managed by Champlain Capital, a Small Business Investment Companies, or SBIC, fund manager that "purchases lower middle-market U.S. companies by buying their entire capital structures, generating a high cash yield on total invested capital," according to board documents.
The other up to $50 million commitment went to a fund managed by Plural, a seed and early stage venture capital firm with a focus on investing in European startups.
