Rhode Island Employees' Retirement System, Providence, returned a net -0.3% for the fiscal year ended June 30, surpassing the policy benchmark’s -0.36% return, state Treasurer Seth Magaziner’s office reported Thursday.
The pension fund ended the fiscal year with $7.5 billion in assets. It has a long-term target return of 7.5%. As of June 30, the system posted an annualized return of 5.5% for the three-year period, 5.8% for five years and 4.8% for the 10 years.
Documents from Mr. Magaziner’s office show that real estate returned 13.1% for the fiscal year, while private infrastructure returned 9.76%; private equity, 6.29%; fixed income, 5.64%; inflation-linked bonds, 3.27%; U.S. equities, 2.32%; cash, 0.76%; and credit aggregate, 0.6%.
Real-return hedge funds, meanwhile, returned -0.18%; equity hedge funds, -6.94%; global equities -10.1%; and publicly traded infrastructure, -14.04%.
“While the pension system’s diversified portfolio protected capital amid a highly volatile year in the financial markets, the State Investment Commission, at General Treasurer Seth Magaziner’s direction, is currently conducting a thorough review of the pension system’s investment strategy to identify possible opportunities for improvement,” David Ortiz, spokesman for Mr. Magaziner, said in a statement.