Trusts in the Wilshire Trust Universe Comparison Service returned a median 1.7% in the fourth quarter and a median 6% for calendar 2014.
Median annualized three-, five- and 10-year returns as of Dec. 31 were 11.17%, 9.32% and 6.45%, respectively.
For six consecutive years, the median return for Wilshire TUCS has been positive, said Robert J. Waid, managing director at Wilshire Associates. However, the median 6% achieved in 2014 is still below some plans’ individual return targets of 7% or 7.5%, he said.
The top-performing universe in TUCS was U.S. corporate defined benefit plans, returning a median 2.14% for the quarter and 6.92% for the year. However, other plans types were not far behind. The weakest performer, Taft-Hartley health and welfare funds, posted median returns of 1.24% and 4.78% for the quarter and year, respectively. That’s “not a big spread,” Mr. Waid said.
Similar to 2013, U.S. equity performance was strong. The Wilshire 5000 Total Market index returned 5.26% and 12.74%, for the quarter and year, respectively. By comparison, the MSCI All-Country World ex-U.S. returned -3.87% for both the quarter and year.
U.S. bond performance also was positive. The Barclays Capital U.S. Aggregate Bond index returned 1.79% and 5.97% for the quarter and year, respectively.
As of Sept. 30, Wilshire TUCS included more than 1,500 plans with more than $3.7 trillion in assets.
