Fresno City returns 9.6% for fiscal year

Fresno (Calif.) City Retirement Systems returned a net 9.6% for the fiscal year ended June 30, above the 8.4% return by its benchmark, according to minutes from the Aug. 22 board meeting.

For the three-, five-, seven-, 10-, 15- and 25-year periods through June 30, the pension plan delivered annualized net returns of 9.8%, 7.2%, 8.3%, 7.8%, 6.8% and 6.6%, respectively, compared with corresponding benchmark returns of 9%, 6.5%, 7.8%, 7.3%, 6.8% and 6.5%.

The pension fund had returned a net -7.2% for the fiscal year ended June 30, 2022, confirmed Robert Theller, retirement administrator for the $3.7 billion pension fund, in an email.

By asset class, the top performer for the year ended June 30 was domestic equity, which returned a net 19% (matching its benchmark); followed by international equity, which returned a net 15.9% (13.3% benchmark); high yield, 8% (9.1%); private credit, 7.7% (9.9%); infrastructure, 4.9% (7.1%); fixed income, 4.7% (4.8%); core fixed income, 0.9% (-0.9%).

The weakest performers were private equity, which returned a net -0.4% (-5.8% benchmark); real assets, -1.3% (-1%); and core real estate, -4.7% (-11.1%).

As of June 30, the pension fund's actual allocation was 25.7% domestic equity, 22.4% international equity, 12.4% private debt, 11.9% core fixed income, 10.3% core real estate, 5.9% private equity, 5.7% infrastructure, 4.8% value-added opportunistic real estate and 0.9% diversifying thematic investments.