The $9.2 billion New Mexico Educational Retirement Board has allocated $150 million to GSO Capital Partners as part of a new opportunistic credit allocation, reports HFMWeek.
The minutes of the board’s February meeting show the investment committee approving the allocation in the form of a separate managed direct lending account, while at the same time approving a $150 million allocation to Medley Capital, which recently acquired credit hedge fund manager Viathon Capital.
The allocations are part of the board’s 20% long-term investment to opportunistic credit.
New Mexico ERB has already allocated $19.7 million to the Bridgewater Pure Alpha Major Markets fund, and $290.1 million to the Bridgewater All Weather fund, and $186.7 million to the Bridgewater Pure Alpha fund.
The board also has a 7.1% allocation to absolute return strategies (its target allocation is 10% and a maximum of 20%) investing in a number of funds including Austin Capital, Gottex and Gam.
New Mexico ERB enjoyed a net investment gain of $464.9 million over Q4 2010, with total assets rising from $8.3 billion to $9.2 billion over the course of the year.