The Pennsylvania Public School Employees' Retirement System, Harrisburg, returned 15.26% on its investments for the fiscal year ended June 30, according to spokeswoman Evelyn Tatkovski. The return, above the $57 billion system's 8.5% assumed annual rate of return - puts the system in the top 10% of the public pension plan database compiled by Wilshire Associates, according to a statement from Roger May, PennPSERS chairman.
The system returned 15.9% on its investments for the three years ended June 30 and 8.67% for the five-year period.
Real estate had the best return among the system's investments for the year, with a 38.6% return compared with its blended policy benchmark return of 20.63%. Other returns: international equities, 30.81%, compared 28.40% for with the MSCI ACWI ex-U.S.; private equity and venture capital, 22.17%, compared with the Venture Economics Median Return Vintage Year Weighted benchmark of 11.78%; domestic equity, 9.66%, vs. 9.92% for the Wilshire 5000; and fixed income, 0.32%, vs. 0.27% for the Lehman Aggregate Global Bond index.
As of June 30, the system had 31.5% of its assets in domestic equity; 29.9% in international equity; 17.8% in fixed income; 9.2% in private equity and venture capital; 6.8% in real estate, and 4.8% in cash.
Separately, Indiana Public Employees Retirement Fund, Indianapolis, outperformed its customized benchmark with a 10.4% return for the fiscal year ended June 30, according to a news release. The benchmark returned 9%. The plan had $14.6 billion in assets as of June 30, up from $13.3 billion a year earlier.