Florida SBA continues its FoF venture strategy with $100 mln commitment

The State Board of Administration of Florida continues its fund of funds-focused venture strategy with a re-up commitment.

The Tallahassee, Florida-based government investment entity made a $100 million commitment to TrueBridge Capital Partners VI during the third quarter, according to a document from the organization.

Fund VI launched in August with a target of $575 million, according to a Form D filed with the SEC. The vehicle is a fund of funds structure that also makes direct commitments alongside its management teams. The firm favors early and seed-stage IT opportunities.

The entity previously invested $100 million in TrueBridge Capital Partners V, which closed on $450 million from 144 investors in February 2018, according to a regulatory document.

This latest commitment adds to Florida SBA’s recent portfolio of venture commitments through, almost exclusively, fund of funds vehicles over the past three years.

Other recent fund of funds commitments include a $300 million commitment to Tiger Iron SOF II during the second quarter and a $75 million commitment to the SVB Strategic Investors Fund IX during Q2 in 2018.

Other venture fund of funds managers the entity has worked with include: GroveStreet Advisors, Fairview Capital and Top Tier Capital Partners.

The firm previously invested in direct venture investors as well. The investment board has committed to multiple fund vintages managed by OpenView Venture Partners, Insight Partners and Pantheon Ventures.

Venture capital made up 22 percent of the organization’s private equity bucket at the end of 2018. Private equity makes up 7.5 percent of the overall portfolio.

As of June 2018, the portfolio had a net return of 8.98 percent. Private equity garnered a 17.25 percent return.

Florida SBA invests on behalf of multiple state pension funds, state investment vehicles and its hurricane and catastrophe fund. The overall fund has more than $202 billion in assets under management.