Pension fund investment portfolios thrive during pandemic


Despite the economic hardships caused by COVID-19, the world’s largest institutional investors have thrived during the pandemic, as many pension funds reported returns of over 20% for the most recent fiscal year.

The big gains helped the world’s 300 largest pension funds increase their assets under management (AUM) by 11.5% to a total of $ 21.7 trillion in 2020, according to a study by the Thinking Ahead Institute.

The world’s largest pension fund, Japan’s $ 1.68 trillion Government Pension Investment Fund (GPIF), posted a record 25% return on its investments for the fiscal year ended 31 March.

The Australian sovereign wealth fund, known as the Future Fund, posted a record 22.2% return for the fiscal year ended June 30 to reach A $ 196.8 billion ($ 144.3 billion) from assets, while its counterpart neighbor, the New Zealand Super Fund, posted its strongest annual return of 29.63%, bringing the value of its assets to NZ $ 59.8 billion (NZ $ 42.5 billion dollars), an increase of NZ $ 15 billion over 12 months.

In Europe, the Swedish pension fund AP1, which has benefited from one of the strongest national stock markets in the world, recorded an 11% return on investment for the first half of 2021, bringing its total assets under management to just over $ 50 billion, while Denmark’s ATP achieved a 17.9% return for the first half of the 2021 calendar, bringing the total value of its assets to $ 146 billion.

And in the United States, the major public pension funds in California, New York, Pennsylvania, Massachusetts, Maryland and Kentucky posted double-digit investment returns in the past year.

California giants, the $ 308.6 billion California State Teachers ‘Retirement System (CalSTRS) and the $ 469 billion California Public Employees’ Retirement System (CalPERS) reported returns of 27.2% and 21.3 %, respectively. This return was the highest on record for CalSTRS.

The $ 254.8 billion New York State Pension Mutual Fund Achieved a Record Return on Investment of 33.55% for the Fiscal Year Ended March 31; the $ 95.7 billion Massachusetts Pension Reserves Investment Management Board (MassPRIM) (MassPRIM) posted a 29.5% return, the highest in the pension fund’s 35-year history; and the $ 22.7 billion Kentucky Public Pension Authority (KPPA) reported the best 25% net of fees for the fiscal year ended June 30, bringing its total asset value to $ 22.7 billion.

Meanwhile, the Florida Retirement System returned 29.46% to bring the total value of its assets to $ 250.5 million, and the Mississippi Public Employees’ Retirement System returned 32.71% to reach 35.6 billions of dollars.

The $ 94.8 billion Ohio State Teachers Retirement System (STRS), which was recently accused in an audit report of wasting billions of dollars, reported returns of more than 29% for the year ended June 30. And although it is the subject of an FBI investigation into alleged bribes and bribes, the Pennsylvania Public School Employees Retirement System (PSERS) of $ 65.9 billion dollars posted a 25% return on investment for the year ended June 30, its highest return in two decades.

Related stories:

Kentucky Pension Fund Announces Record 25% Return for Fiscal 2021

CalSTRS Achieves Record Annual Return of 27.2%

Japan’s $ 1.7 trillion pension giant breaks record, returns 25% in 2020

Keywords: CalPERS, CalSTRS, investment returns, Japan GPIF, Kentucky Public Pension Authority, pension fund, record


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