CalSTRS returned 13.8% in the fiscal year ended June 30, confirmed spokesman Michael Sicilia.
The $166 billion California State Teachers' Retirement System, West Sacramento, on Monday announced the investment results, led by particularly strong performance in global equities, which returned 19.2% for the year ended June 30.
Real estate and private equity also performed strongly, with returns of 14.1% and 13.9%, respectively, although those numbers are fiscal year-to-date as of March 31.
Inflation-sensitive assets and fixed income returned 2.2% and 0.9%, respectively, for the fiscal year.
The pension fund returned 1.8% the previous fiscal year.
“This year reminds us that a pension fund measures its health over the long term and no single year can take us from underfunding to funding adequacy,” CalSTRS CEO Jack Ehnes said in a news release. “It also emphasizes the fact that investment returns are not the only factor needed to place CalSTRS on a solid financial footing. It's clear that the Legislature and governor must implement a long-term funding plan that includes gradual, predictable and fair contribution increases for all parties involved.”
As of June 30, the pension fund's asset allocation was 53% domestic and international equities, 17% fixed income, 14% real estate, 13% private equity, 2% cash, and 1% inflation-sensitive and overlay assets.