Q209 TUCS Data Looks Up, 12-Month Performance Still Down

August 10, 2009 (PLANSPONSOR.com) - The performance of institutional investors' portfolios continued to improve in the second quarter of 2009 with median returns ranging from 7.55% for Taft Hartley funds to 10.93% for corporate plans, according to the latest Wilshire data.

A news release about the data from the Wilshire Trust Universe Comparison Service (TUCS) said median institutional plan performance for the year ending June 30, 2009, lagged, with all categories still in negative territory. According to the news release, Taft Hartley plans had the best 12-month median performance at -16.08%, and the worst median performance of -19.14% was notched by foundations and endowments.

All master trusts had a median quarterly return of 9.77% and a median 12-month return of -17%. Corporate plans saw an annual median return of -16.84%, while public funds racked up a 10.86% median quarterly return and a -17.06% median performance for the year. For foundations and endowments the median quarterly return was 10.66%.

“The U.S. stock market saw a $1.5-trillion paper gain during the second quarter as the Wilshire 5000 Total Stock Market Index marked its first positive quarter since a 1.46% increase during the third quarter of 2007,” said Hilarie C. Green, managing director and head of Wilshire Analytics’ Performance Reporting division, in the news release. “At the end of the quarter, U.S. stocks had gained 38.33% since their recent low on March 9, 2009, which reduced the market selloff to -38.30% since the Wilshire 5000’s high in October 2007.”

Green noted that according to the Wilshire TUCS Equity Style Analysis, “Size, as measured by market capitalization, was the stronger factor in performance this quarter for equity managers. Small cap managers had the best performance returning 21.79%, followed by mid cap at 18.56% and large cap at 15.96 %.”

Wilshire TUCS includes more than 1,100 plans representing $2.04 trillion in assets.