FOR IMMEDIATE RELEASE
May 22, 2014
Treasurer Cowell Reports First Quarter Pension Fund
RALEIGH, N.C. – Following the quarterly Investment
Advisory Committee meeting, State Treasurer Janet Cowell reported today that
North Carolina’s pension fund gained 2.24 percent for the quarter ending March
31, 2014, seeing positive returns in all asset classes. The fund returned 10.88
percent for the 12 month period, outperforming the long-term 7.25 percent
target rate of return. Pension fund assets were valued at $87.4 billion at the
end of the quarter, up from $83.1 billion at the end of the calendar year.
"North Carolina’s retirement fund is strong and will
continue to be conservatively and strategically managed with a long-term view,”
Cowell said. “We will continue to thoughtfully and cost-effectively diversify
our portfolio to keep the pension one of the strongest in the country."
The pension fund’s global equity (stock) portfolio gained
1.38 percent for the quarter and 19.46 percent for the year. After a poor start
to the year, equity markets rebounded in March and closed near all-time highs.
Fixed income, which comprised nearly one-third of the fund, continues to see
depressed returns; it gained 2.88 percent for the quarter, but was down 0.46
percent for the year.
For the quarter, the credit strategies portfolio rose
3.55 percent, real estate rose 3.36 percent, alternatives rose 3.48 percent,
and the inflation protection portfolio rose 3.02 percent.
All returns are net of fees, which were 0.52 percent of
the fund for fiscal year 2012-2013. During Treasurer Cowell’s term in office,
the pension fund has grown over 45 percent.
View the First Quarter Report
The North Carolina Retirement Systems, the formal name
for the pension fund, is the eleventh largest public pension fund in the
country. It provides retirement benefits and savings for more than 900,000
North Carolinians, including teachers, state employees, firefighters, police
officers and other public workers. For more information, visit www.nctreasurer.com.