Arkansas Public Employees Retirement System, Little Rock, returned a gross 12.3% for the fiscal year ended June 30, below its benchmark return of 12.9%, said Carlos Borromeo, chief investment officer for the $8.3 billion pension fund, in an email.
By asset class, international equity returned 18.39%; domestic equity, 17.52%; diversified strategies, 5.51%; real assets, 3.27%; and fixed income, 3.04%.
The pension fund has an asset allocation of 37% domestic equity, 24% international equity, 18% fixed income, 16% real assets and 5% diversified strategies.
For the five and seven years ended June 30, the pension fund returned an annualized 9.85% and 10.5%, respectively, topping its benchmarks returns of 9.17% and 9.91%, respectively.
In fiscal year 2016, the pension fund returned, 0.3%, slightly ahead of its benchmark return of 0.27%.