Pension funds benefit from robust returns, fiscal discipline


State Teachers Retirement System of Ohio saw a 29% investment return for the fiscal year that ended June 30, 2021. A new report by Pew Charitable Trusts found that robust investment returns and more fiscal discipline helped public pension systems across the country.

Thanks to robust stock market returns and more fiscal discipline, public pension systems across the country are in the best financial positions they’ve seen in more than a decade, according to new report from The Pew Charitable Trusts.

Pew estimates that state retirement systems are now more than 80% funded for the first time since 2008. The funds have closed the funding gap between what they’ve promised workers in retirement and what they’ve set aside to pay for those benefits, the study found.

The average state pension fund earned 3% for the fiscal year that ended June 30, 2020 but had huge gains in fiscal year 202

“Since then, the market has experienced a once-in-a-generation rally. On average, plans earned investment returns of over 25% for fiscal 2021, which translates into gains above expectations of more than half a trillion dollars,” the report found.



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2021-09-16 02:00:52