The New Mexico Public Employees Retirement Association has approved $75 million (€48 million) in commitments to private equity and real estate funds.
The US retirement system will commit $25 million to middle market buyout fund Lincolnshire Equity Fund IV. Lincolnshire has approximately $900 million under management, including $433 million in its most recent third fund, closed in 2005.
Nordic Capital’s seventh fund will receive $25 million as well. Nordic Capital invests primarily in the Nordic region targeting middle market companies across all industries and sectors. The firm’s most recent fund closed on €1.9 billion in 2006.
Morgan Stanley’s seventh global real estate fund, targeting $10 billion to $12 billion, received a commitment of $25 million from New Mexico PERA.
The retirement system, which provides retirement, disability and survivor benefit programs for public employees throughout New Mexico, had $13 billion in assets as of the end of March.
The New Mexico pension has a target allocation of 5 percent to the private equity asset class and is open to investing in most fund types including buyout, venture capital, mezzanine and distressed debt funds.