Corporate funds led gains for the second quarter of 2017, according to the Wilshire TUCS.
“This quarter’s return boosted the one-year return to 10.49% for the year ending March 31, 2017,” says Robert J. Waid, managing director, Wilshire Associates.
Institutional portfolios using the endowment model grew 4.95% (on a total return basis) for the quarter ended March 31, 2017, according to the Endowment Index.
Corporate ERISA plans were helped by a significant allocation to high yield, emerging market debt and longer duration investment grade bonds.
Corporate ERISA plans had the best performance in the quarter.
2015 was the first calendar year since 2008 that institutional investors overall had a negative return.
Institutional investors of all types found relief from market headwinds.
Global equity returns weighed heavily on the median returns for all plan types in the third quarter, according to Wilshire Associates.
However, Corporate ERISA plans were the relative best performer among plan types last quarter.
“The decline in asset values that hit typical public defined benefit plans, endowments and foundations was primarily due to poor equity performance across the globe”, says Andrew Wozniak from BNY Mellon.
Corporate ERISA plans returned -1.6% at the median in the second quarter, according to Northern Trust.
The Wilshire Trust Universe Comparison Service found all plan types’ median returns were higher in Q1 2015 than returns generated by the classic 60/40 portfolio.
Rising interest rates helped improve U.S. corporate pension plan funding.
The firm has created a new position to support its outsourced CIO services for nonprofit clients.
LGIMA has hired Mark Toomey, senior client portfolio manager, to assist with its expansion.
All plan types had a median return of 1.70% in Q4 2014.
The funded status of U.S. corporate pensions fell nearly 5% in January, according to BNY Melon ISSG.
The 2014 NACUBO-Commonfund Study of Endowments reveals higher education institutions were highly invested in alternatives.
The funded status of the typical U.S. corporate pension plan fell 0.4 percentage points to 89.5% in October, according to the BNY Mellon Investment Strategy and Solutions Group (ISSG).
Advanced Capital Group (ACG) is opening a new office to support retirement plans and other institutional investors.