Texas Employees Retirement System's returns topped the $25.4 billion fund's benchmark in three of five measurement periods ended March 31.
The Austin-based pension fund returned 1.3% in the three months ended March 31, trailing its benchmark by 10 basis points; one year, 11.2%, 70 basis points above the benchmark; three years, 8.1%, up 10 basis points over the benchmark; five years, 13.8%, trailing the benchmark by 30 basis points; and 10 years, 6.6%, 30 basis points above the benchmark.
In the quarter ended March 31, global credit, real assets, rates and hedge funds contributed “positive relative value. The remaining asset classes were flat or detracted from relative performance during the period,” according to a performance report from the pension fund's consultant, Hewitt EnnisKnupp, prepared for the May 20 ERS board meeting.
Separately, Texas Employees has stopped trading with the broker-dealer business of Credit Suisse after the bank pleaded guilty Monday to one count of conspiring to aid tax evasion, confirmed Mary Jane Wardlow, an ERS spokeswoman, in an e-mail.
The pension fund has “a policy against hiring firms convicted of felonies,” Ms. Wardlow said.
