Controller Franchot becomes Chairman of the State Pensions Board – Conduit Street
Comptroller Peter Franchot recently served as chairman of the Maryland State Retirement and Pension System Board of Trustees, which establishes rules and regulations to administer multiple pension systems and manage pension funds for approximately 412,000 members. These include active and retired state employees, teachers, state police, judges and other law enforcement personnel.
The 15-member board of directors also leads the management of a $ 70 billion investment portfolio and adopts the actuarial assumptions necessary to adequately fund the system.
As previously reported on Conduit Street, the Board of Directors announced that its portfolio reported a record 26.7% (net of fees) on investments for the year ending June 30, 2021.
Profits for the year greatly exceeded the system’s assumed actuarial rate of return of 7.40% and exceeded its benchmark target of 24.41 basis points by 230 basis points. In addition, the fund’s performance brought system assets to $ 67.9 billion, an increase of $ 13.3 billion from the prior year.
“This role does not earn much headlines, but it is of the utmost importance to the hundreds of thousands of public servants, retirees, educators and others who depend on the health of the pension system in their life after employment,” he said. declared Controller Franchot. “I am committed, as I have done over the past 15 years as Vice President, to be a vigilant steward of these funds and to speak out when money is mismanaged or when investments fail to deliver. expected returns. “
Under board rules, Franchot, who had served as vice president since 2007, became president last month after longtime treasurer Nancy K. Kopp retired. The Maryland General Assembly elected former delegate Dereck Davis to succeed Kopp as treasurer. He was sworn in on December 17 and assumed the vice-chairmanship of the board the following week.
âI look forward to joining this talented and diverse group of directors, who have a wide range of professional expertise and personal experiences,â said Treasurer Davis. âRetirees should have confidence that the system will continue to protect their money and ensure that benefits are properly administered. “
Stay tuned to Conduit Street for more information.