A MOSERS news release said the 10-year annualized total fund return at June 30, 2010, was 4.9%, well ahead of the systems’ policy benchmark return of 2.6%. The latest FY performance also bested the 8.5% assumed return, the pension system said.
Performance across asset classes varied during the year with emerging market equities at the top, generating a return of 22.8% for the fiscal year. “While the emerging markets will continue to be volatile, we believe that as a result of favorable demographic trends and low levels of debt, many of these markets are positioned to experience above average economic growth. Above average economic growth will translate to higher investment returns over the long-term,” said Rick Dahl, chief investment officer of MOSERS, in the announcement.
“What is important to taxpayers is that MOSERS generates revenues that lower the demand for state resources,” said Gary Findlay, MOSERS Executive Director. “Over half of the funding for the pension plan over the long-term comes from investment earnings. This year alone, our investment portfolio generated $887 million on behalf of our members and Missouri taxpayers.”
MOSERS is a statewide public pension fund providing retirement, disability and survivor benefits for approximately 100,000 state employees, retirees, and their families. MOSERS’ total assets were approximately $7 billion at June 30, 2010.
More information is at www.mosers.org.