Massachusetts Pension Reserves Investment Management board reported a 12.82% return on the Pension Reserves Investment Trust for the fiscal year ended June 30, the board announced Wednesday. The board oversees the trust.
The gain exceeded PRIT's policy benchmark return of 9.77% for the year by 305 basis points, helped by gains of 33% for value-added fixed income, 18% for private equity and 14% for global equity, according to a news release.
The value of the assets in the PRIT portfolio as of June 30 came to $41.3 billion, up 9.5% from a year earlier.
In an interview, Stanley Mavromates, PRIM's chief investment officer, said the fund's assets would have come to $42.8 billion absent distributions to cover retirement benefits, with the compounded gains for the 12 months through June 30 amounting to 12.82%.
The gain followed the -23.87% return for the fiscal year ended June 30, 2009, below the 19.76% decline for the fund's policy benchmark.
The news release quoted interim Executive Director Karen Gershman calling the fund's latest fiscal year performance “outstanding on both an absolute and relative basis,” leaving an annualized return since inception of 9.36% — well above its return target of 8.25%.