University of Michigan, Ann Arbor, disclosed up to $280.3 million in alternative commitments from its $12.2 billion long-term endowment pool ahead of Thursday's board of regents meeting.
The commitments were made in January to five alternative investment strategies 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.
The university committed up to $100 million to Hydrazine Capital II, a fund that invests in early stage technology companies managed by principals of Y Combinator, a venture capital portfolio manager. The university acquired a limited partnership interest in the fund through a secondary purchase and committed additional capital for follow-on investments in the fund.
Also in January, the university committed €44 million ($50.3 million) to Altor Fund V, a private equity fund managed by Altor Fund Manager; $50 million to Balboa Retail Fund II, a real estate fund managed by Balboa Retail Partners that targets under-valued retail assets controlled by stressed or distressed retailers; $50 million to Virtus Real Estate Capital II, a real estate fund that seeks opportunities in niche real estate sectors throughout the U.S., including student, senior and workplace housing, medical office and self storage; and $30 million to White Rock Oil & Gas Partners III, a natural resources fund that will invest in producing oil and gas properties in U.S.
