The New Mexico Public Employees’ Retirement Association (NMPERA) will consider a new investment for its alternatives portfolio next Tuesday.
Up for discussion at the March 8 investments committee meeting is a $20 million allocation to the Selene Residential Mortgage Opportunities Fund II, the agenda noted.
The Selene fund buys delinquent mortgages at a deep discount, works with homeowners to get them paying again, and then resells the stable loans for profit, according to various published reports. The fund was established by Lewis Ranieri, who is considered to be a pioneer in the securitization and MBS markets.
Cliffwater has recommended the investment.
The Santa Fe-based committee will also decide the fate of two of its international equity managers. Artio Global Investors and State Street Alpha Select both have upcoming contract expirations of June 30.
At next week’s meeting, the committee will discuss whether to extend the contracts for an addition four-year term; reduce the mandates, while extending them for four years; or terminate the agreements with 30 days notice.
Both firms oversee active developed markets portfolios. R.V. Kuhns & Associates, NMPERA’s general consultant, will advise the fund on its decisions.
Additional information regarding the investments could not be ascertained prior to the meeting, however.