Ohio State Teachers' Retirement System, Columbus, returned 7.13% for the fiscal year ended June 30, 17 basis points below its policy benchmark return, Nick Treneff, pension fund spokesman, said in an email.
For the three, five and 10 years ended June 30, the $76.3 billion pension fund returned an annualized 10.29%, 7.38% and 10.44%, respectively, all above the respective benchmarks of 9.89%, 7.02% and 10.29%.
STRS returned 9.57% in the fiscal year ended June 30, 2018, 63 basis points above that fiscal year's policy benchmark.
Among the pension fund's asset classes, domestic equities had the highest return for the latest fiscal year, at 8.74%, below its benchmark of 8.98%. The alternative investments asset class returned 8.3% net of fees, equal to its benchmark, followed by fixed income at 7.65%, below its 7.81% benchmark.
Real estate returned a net 7.6%, beating its 7.37% benchmark, and liquidity reserves returned 2.33%, a hair above its 2.31% benchmark.
As of May 31, the pension fund's actual allocation 27.5% domestic equities, 23.8% international equities, 19.9% fixed income, 17.4% alternative investments, 10.5% real estate and 0.9% liquidity reserves. The June 30 actual allocation is not yet available.
The target allocation is: 28% domestic equities, 24% international equities, 21% fixed income, 16% alternative investments, 10% real estate and 1% liquidity reserves.