Institutional assets up 12.89% in 2010, BNY Mellon report says

Institutional investors within the BNY Mellon Master Trust Universe returned a median 5.6% for the fourth quarter and 12.89% for the full year 2010, according to a BNY Mellon news release. The quarterly median return was down from 8.48% in the third quarter.

The universe consists of 698 corporate, public and Taft-Hartley defined benefit pension funds; foundations and endowments; and health-care plans.

“The fourth quarter was once again driven by strong performance in the equity markets,” Greg Stewart, managing director and regional product manager of BNY Mellon Asset Servicing, said in the news release.

U.S. equity was the best-performing asset class for the quarter with a median return of 11.79%, followed by international equities at 7.35%, international fixed income at -0.75% and U.S. fixed income at -0.92%.

For the full year, corporate pension funds had the strongest investment performance, with a median return of 13.5%.

The average asset allocation for the universe was U.S. equities, 34%; U.S. fixed income, 27%; international equity, 17%; alternatives, 10%; real estate and international fixed income, 2% each; cash 1%; and all other investments, 7%.