The State of Michigan Investment Board has disclosed up to $2.3 billion in alternative investments made in the second quarter of this year, according to a quarterly report provided on the Board’s website. Multiple investments were made in private equity, real estate, infrastructure, and private credit funds.
Private Equity
$150 million was committed to buyout fund, Apax XI. $112.5 million was allocated to healthcare private equity fund, TPG Partners IX. $100 million was committed to Blackstone’s second growth equity fund, Blackstone Growth II. Venture capital fund Accel Leaders IV was awarded a $50 million commitment. $48 million was committed to venture capital fund, Meritech Capital Partners VIII. $37.5 million was committed to healthcare private equity fund, TPG Healthcare Partners II. $35 million was committed to venture capital fund, Arboretum Ventures VI. $35 million was awarded to two FirstMark Capital buyout funds, FirstMark Capital Opportunities Fund IV and FirstMark Capital Fund VI. Venture capital fund, Meritech Capital Sidecar III was given a $12 million commitment. Lastly within private equity, $7.5 million was committed to Lightspeed India Fund IV.
Real Estate & Infrastructure
$200 million was committed to real estate fund, Blackstone Real Estate Partners X. $100 million was committed to ASF VIII Infrastructure Fund V. The infrastructure fund managed by Ardian focuses on secondaries and co-investments. $75 million was allocated to infrastructure fund, Ridgewood Water & Strategic Infrastructure II. And $50 million was committed to Warwick UK Real Estate Fund I, a real estate fund managed by Warwick Investment Group that focuses on the London residential rental market.
Private Credit
$500 million was committed to Sixth Street Lending Partners, a Business Development Company focusing on middle market corporate credit opportunities. $300 million was invested with Apollo Accord +, a multi-asset credit strategy managed by Apollo Accord+ Management. $250 million was invested in Irradiant Solutions Fund II. The fund managed by Irradiant Partners focuses on private credit and has flexibility to invest in private equity and public securities. $225 million was invested in Owl Rock Technology Finance Corp II, a Business Development Company focusing on private credit opportunities in the technology sector.
As of June 30, 2022, the State of Michigan Investment Board allocates 25.4% to private equity, 10% to real estate & infrastructure, and 7.9% to absolute return strategies. Comparatively, they target 16% to private equity, 10% to real estate & infrastructure, and 9% to absolute return.
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