Private Equity Investments

National

The State Investment Council has been investing in private equity funds since 1989, and currently has over $4.5 billion in assets and a long-term allocation target of 13% for this strategy. Mercer consults the Council regarding its private equity portfolio and performs due diligence on prospective fund investments.  Private equity commitments are also vetted during public meetings of the Council Investment Committee, followed by a vote of the full Council. The Council currently has exposure to hundreds of private companies, through dozens of managers and more than 100 limited partnerships.

New Mexico

The State Investment Council may also invest in New Mexico-focused private equity funds and is statutorily authorized to commit up to 11% of the Severance Tax Permanent Fund to this strategy. By statute the Council is allowed to consider economic benefits to the state in addition to potential financial returns when considering a fund commitment.  The Council has focused primarily on funds capable of creating market-rate returns and has emphasized investing with experienced managers capable of taking New Mexico start-up companies to the next level.  Mercer is the current advisor for the New Mexico Private Equity Investment Program (NMPEIP).  Since 2022, the SIC has committed almost $700 million across 20 funds actively sourcing deals in New Mexico, many of which focus on hard science start-ups and frontier technologies, of which New Mexico has many via its national laboratories and research universities.