Louisiana State Employees' Retirement System, Baton Rouge, returned 11.7% for the fiscal year ended June 30, according to a performance summary on its website.
The $13.3 billion pension fund returned an annualized 12%, 7.1% and 7.7% for the three, five and 10 years ended June 30, respectively.
The performance summary did not provide benchmark information.
LASERS had returned -7.2% for the fiscal year ended June 30, 2022.
The latest fiscal year's improved performance likely benefited from stronger market returns for the period in both equities and fixed income. For the year ended June 30, the Russell 3000 and Bloomberg U.S. Aggregate Bond index returned 19% and -0.2%, respectively, well above their respective returns of -13.9% and -10.3% for the year ended June 30, 2022.
Of the 42 public pension funds whose fiscal-year returns have been tracked by Pensions & Investments as of Aug. 25, the median return for the period was 7.6%.
By asset class, total equities posted a gross return of 17.4% for the fiscal year ended June 30, while total fixed income returned 7.7% and total alternatives returned a net 4.3%. The performance summary said the return for fixed income was a mix of gross-of-fee and net-of-fee portfolios.
As of June 30, the actual allocation was 24.8% domestic large-cap equities, 23% private markets, 12.6% global multisector strategies, 7.7% international large-cap equities, 6.2% emerging markets equities, 5.3% domestic small-cap equities, 5.2% domestic midcap equities, 4.7% absolute return, 4.1% international small-cap equities, 3% emerging markets debt, 2.3% core fixed income and 1.1% cash equivalents.
The target allocation is 24% each domestic large-cap equities and private markets, 14% global multisector strategies, 8% international large-cap equities, 6% emerging markets equities, 5% each domestic midcap equities and domestic small-cap equities, 4% each absolute return and international small-cap equities, and 3% each core fixed income and emerging markets debt.
