Missouri Public School and Education Employee Retirement Systems, Jefferson City, lowered its expected rate of return to 7.3%.
The retirement system's board approved lowering the expected rate of return from 7.5% at its June 8 board meeting, confirmed Craig Husting, chief investment officer, in an email.
The change was recommended by actuary PricewaterhouseCoopers as the result of an actuarial experience study. The study resulted in a new long-term real-return assumption of 5.3%, up from 5.25%, and an inflation assumption lowered to 2% from 2.25%.
The new expected rate of return is effective July 1.
As of March 31, the retirement system had $53 billion in assets.