Oklahoma Police Pension & Retirement System, Oklahoma City, returned 12.34% net of fees for the fiscal year ended June 30, surpassing the pension fund's custom benchmark by 100 basis points, said Steven Snyder, executive director and chief investment officer.
The $2 billion pension fund's equity composite, which includes private equity and long/short equity hedge funds, had the strongest return for the year at 16.16%, although that came up short of the 17.21% MSCI ACWI index benchmark. Fixed income returned 5.71%, far outpacing the Barclays Capital Global Aggregate Bond index benchmark of 0.24%. The bond portfolio was particularly helped out by a $174 million low-volatility strategy managed by Pacific Alternative Asset Management Co. that returned 12.64%. The real assets class, which is made up of real estate and commodities, returned 13.48%.
The pension fund returned 10.07% annualized for the three years ended June 30, 4.4% for five years and 7.01% for 10 years.
The pension fund is about 90% funded.
