Texas Teacher Retirement System, Austin, returned -7.06% in the third quarter, underperforming the fund’s internal benchmark by 170 basis points, according to a webcast of Thursday’s board meeting.
Investment losses in the quarter of $7.7 billion and withdrawals dropped the system’s assets 8% to $101.1 billion as of Sept. 30.
The system’s third-quarter and one-year returns were “a tale of two cities,” T. Britton Harris IV, the system’s chief investment officer, told trustees during their meeting.
For periods ended Sept. 30, the retirement system returned 3.6% for one year; 4.6% for three years, 2.6% for five years and 5.8% for 10 years. Multiple-year returns are annualized.