Contact: Brad Young (919) 814-3820

Treasurer Cowell Reports Third Quarter Pension Fund Returns
Raleigh, N.C. -- At the quarterly meeting of the Investment Advisory Committee, the Department of State Treasurer reported that for the third quarter of 2015 ending September 30, 2015, the North Carolina pension fund returned a loss of 3.7 percent. Over the last 12 months, the fund was down one half of one percent. Pension fund assets were valued at $85.51 billion. The pension plan returned a gain of 7.0 percent over the last 5 years.
“For the last two years, we have been implementing a strategy to smooth out the ups and downs of the markets by diversifying our portfolio.” Treasurer Cowell said. “This has been a down quarter, but the fund is solid and well-positioned for the long-term.”
Public equity (stocks), which comprises 41 percent of the fund, showed losses during the past year of 5.4 percent and 9.2 percent for the quarter. Investment-grade fixed income (bonds), which makes up 30 percent of the fund, rose 3.0 percent for the year and 1.3 percent for the quarter.
Returns outside of stocks and bonds provided diversification in line with the Department’s investment policy. Non-core real estate rose 17.7 percent for the year and 3.0 percent for the quarter. Private equity rose 11.7 percent for the year and 3.8 percent for the quarter. Core real estate was up 9.1 percent for the year and 2.5 percent for the quarter.
“In the midst of a volatile year, we are fairly satisfied with where we stand, which is close to our long-term target asset allocation,” Chief Investment Officer Kevin SigRist told the committee. “We’re seeing some rebound in the markets since the end of the quarter and are doing well on a relative basis compared to our benchmarks and peers.”
See the report for a full reporting of all asset classes.
The North Carolina Retirement Systems, the formal name for the pension fund, is the tenth 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