OPPAGA text logo with graphic of FL historic capitol
OPPAGA text logo with graphic of FL historic capitol

Florida Growth Fund Investments Have Provided Over $200 Million in Distributions to the FRS; Fund Managers Continue to Seek New Investment Opportunities

Report 16-08, December 2016




Report Summary

  • As of June 30, 2016, the Florida Growth Fund program had invested $512.4 million in 37 technology and growth companies and 29 private equity funds. Investments were dispersed across 13 counties, with amounts ranging from $6.8 million in Manatee County to $156.3 million in Palm Beach County.
  • Since its inception, Florida Growth Fund I has experienced a net internal rate of return of 11.1% and has distributed $201.5 million to the Florida Retirement System as of June 30, 2016.
  • Due to the success of Florida Growth Fund I, the State Board of Administration's managers authorized the initiation of Florida Growth Fund II, which made its first commitment in December 2014. To date, Florida Growth Fund II has made six fund commitments and five co-investments, totaling $92.6 million in capital. Given initial fees, Florida Growth Fund II had generated a -1.4% net internal rate of return as of June 30, 2016. However, this fund is in the early stages of its investment timeline and fund managers expect positive returns as investments mature.
  • The program's investments also resulted in reported economic benefits to the state. Companies that received Florida Growth Fund investments reported creating 15,331 jobs as of June 30, 2016. The companies also reported paying an average annual salary of $85,604 for those jobs created over the past year; however, salaries varied widely, from $15,000 to $767,000. In addition, 12 companies and 7 private equity funds reported making $51.8 million in capital expenditures between June 30, 2015 and June 30, 2016, bringing total capital expenditures to $364.4 million since the fund's inception.


Related Reports
  1. Florida Growth Fund Investments Have Provided More Than $363 Million in FRS Distributions; SBA Added a New Fund Manager and a $125 Million Tranche of Capital to the Program
    Report 19-02 January 2019
  2. Florida Growth Fund Investments Have Provided Over $300 Million in Distributions to the FRS; Fund Managers Continue to Seek New Investment Opportunities
    Report 18-02 January 2018
  3. Florida Growth Fund Expands and Diversifies Investments
    Report 15-14 December 2015
  4. Florida Growth Fund Investments Continue to Add Jobs and Provide Distributions to the FRS
    Report 14-11 December 2014
Copies of this report in print or alternate accessible format may be obtained by email OPPAGA@oppaga.fl.gov, telephone (850) 488-0021, or mail 111 W. Madison St., Room 312 Tallahassee, FL 32399-1475.
growth, technology, Florida Growth Fund, Florida Retirement System, life sciences, investments, Hamilton Lane, due diligience, private equity, co-investments, direct investments, early-stage capital, start-up, economic development, economic benefits, pension funds, management fees, employment growth, wage growth, capital investment