The prolonged crash on national stock markets is taking a significant toll on the State Investment Council’s private equity investment program, pushing overall returns down by nearly 7% over the past year, according to the latest quarterly report from the SIC’s private equity advisement firm Mercer.
The losses reflect devaluation of publicly traded companies in the SIC’s venture portfolio, plus lower values for privately held companies, as well.
But record oil- and gas-related tax income continues to shore up the state’s permanent funds, which are managed by the SIC, providing significant capital to continue investing in venture funds that pump money into local startups, despite the downturn on stock markets.
“It’s tough right now in New Mexico and elsewhere,” SIC spokesman Charles Wollmann told the Journal. “The happy days of a few years ago are gone, at…
