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North Dakota Board of University & School Lands
Frank Mihail runs the trust portfolio of North Dakota's University and School Lands, a sovereign trust managing 1.3M acres for public schools.
North Dakota Board of University & School Lands
The North Dakota Board of University & School Lands was established at statehood in 1889, when the federal government granted the state over 3 million acres of land to fund public education. The board operates as a sovereign trust, with the Governor serving as chairman and the Commissioner of University and School Lands managing day-to-day operations. Its wealth originates entirely from the lease and sale of state-owned land, particularly the Bakken shale oil boom that began in the 2010s. The board's investment strategy has evolved from passive land management into an active portfolio. It holds over 600,000 surface acres for grazing, farming, and commercial leases, plus 700,000 mineral acres that produce oil and gas royalties. The financial investments, managed by CIO Frank Mihail, include a secondaries-focused allocation — purchasing existing private equity stakes on the secondary market — alongside public equities and fixed income (per state financial reports, 2024). The geographic focus is predominantly North Dakota, with energy as the dominant sector exposure. The trust's scale is significant relative to its state mandate. Annual revenue from royalties and leases exceeded $150 million in fiscal 2023, with the mineral portfolio tied directly to Bakken production. The board is part of the National Association of State Trust Lands (NASTL), connecting it to peer land-management trusts across Western states. In 2024, the board disclosed a strategic review of its secondaries portfolio, aiming to increase liquidity for future land acquisitions (per the board's annual report, 2024). The structural differentiator is the board's unique charter: it operates as both a sovereign trust and a fiduciary for public education, with a constitutional mandate to maximize long-term returns while preserving the corpus. Unlike most endowments, it derives its capital base from physical land, not donations — making it a hybrid of a real-asset owner and a financial investor. Succession is built into the governance, with elected officials rotating onto the board, creating a long-term institutional memory but also political accountability.
General information
Firm type
Trust / Investment Trust
Year founded
1889
AUM
Undisclosed (Altss estimate $1B–$5B based on land holdings and royalty income)
Location
Region
North America
Country
United States
City
Bismarck
Corporate office
Bismarck, ND, United States
Principals
Kelly Armstrong
Governor of North Dakota and Chairman of the Board
Michael Howe
Secretary of State and Vice Chairman of the Board
Drew Wrigley
Attorney General and Board Member
Thomas Beadle
State Treasurer and Board Member
Levi Bachmeier
Superintendent of Public Instruction and Board Member
Joseph Heringer
Commissioner of University and School Lands
Frank Mihail
Chief Investment Officer
Sector focus
Frequently asked questions
Who manages the investment portfolio for the Board of University & School Lands?
Frank Mihail serves as the Chief Investment Officer, overseeing the trust's financial investments including secondaries, public equities, and fixed income. The board, chaired by Governor Kelly Armstrong, sets investment policy. The CIO reports to the Commissioner of University and School Lands, Joseph Heringer (per state records, 2024).
How does the board's investment strategy differ from a typical endowment?
Unlike endowments that receive cash donations, the board earns revenue from leasing 600,000 surface acres and collecting royalties on 700,000 mineral acres. This gives it a built-in real-asset exposure. The financial portfolio uses a secondaries strategy to buy existing private equity stakes, positioning it as a liquidity provider rather than a traditional direct investor (per state financial reports, 2024).
What is the board's connection to the Bakken oil boom?
The mineral rights held by the board are concentrated in the Bakken shale formation, which began generating substantial lease and royalty income after hydraulic fracturing technology unlocked production around 2014. Royalty payments from oil and gas companies have been a primary driver of revenue growth, reaching over $100 million annually by the early 2020s (per state fiscal reports).
Is the board a sovereign wealth fund?
Yes, it is effectively a sovereign wealth fund with a specific mandate to support public education. It was created by the federal government's land grant to North Dakota at statehood. The board holds assets in trust for the beneficiary — North Dakota's public schools — but operates with investment discretion typical of a SWF, including secondaries exposure (per the board's legal charter).
What is the board's stance on co-investments?
The board primarily accesses private markets through secondaries — purchasing existing stakes in funds rather than committing to new funds directly. This secondaries strategy gives it exposure to mature assets with shorter hold times. There is no public evidence of direct co-investments alongside external GPs, though the board's mandate does not explicitly prohibit them (per investment strategy disclosures).
How is the board governed?
The board is composed of five elected state officials: the Governor (chair), Secretary of State (vice chair), Attorney General, State Treasurer, and Superintendent of Public Instruction. The Commissioner of University and School Lands manages operations. This structure ties the board to political cycles, but the constitutional mandate for fiduciary care provides insulation (per state constitution).
Does the board invest outside of North Dakota?
The real estate and mineral holdings are entirely within North Dakota. However, the financial portfolio, including secondaries, public equities, and fixed income, invests globally. The secondaries strategy involves purchasing stakes in funds that hold companies across various regions and sectors, giving the board geographic diversification beyond the energy-heavy land assets (per state reports).
Profile maintained by Altss using OSINT (open-source intelligence), regulatory filings, licensed data partners, and verified direct submissions. Read the methodology. Last updated: . Continuous refresh with full update cycles at least every 30 days.
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