Kansas Public Employees Retirement System, Topeka, returned 14.9% on its overall portfolio for fiscal year 2010, ended June 30, confirmed Robert “Vince” Smith, chief investment officer of the $11.2 billion fund.
It’s a significant turnaround for the fund, which had a loss of 19.6% for fiscal year 2009, Mr. Smith said in a telephone interview. The fund had $10.2 billion in assets as of June 30, 2009.
The fund beat all of its policy benchmarks for fiscal 2010 except for the alternatives asset class, Mr. Smith said.
Domestic equities returned 18.1%, vs. the 15.7% benchmark; international equities, 10.9% vs. 10.5%; global equities, 12.7% vs. 12.3%; domestic fixed income, 17% vs. 10.6%; real return, 12.3% vs. 9.5%; and real estate, 12.1% vs. 7.4%.
Alternatives returned 10.3%, under its benchmark of 18.7%, but Mr. Smith noted that the asset class returned an annualized 2.2% for the three-year period ended June 30 vs. an annualized -6.4% for its benchmark.
“I think we had a good asset mix this year; our fixed-income portfolio performed really well,” Mr. Smith said.