Andrew Junkin, cio of the $8.5 billion Employees Retirement System of Rhode Island and former president of Wilshire Consulting, answers 5 questions from FIN News.
A Florida employees retirement system terminated a manager from a nearly $10 million portfolio due to performance issues and also added a new preferred securities investment at its meeting yesterday.
A Florida pension plan terminated its active large-cap growth and value managers at today’s board meeting and will discuss adding private equity to its allocation in November.
State pension plan investments largely recovered by the end of June after several dramatic market drops linked to the economic effects of the COVID-19 pandemic. At the same time, the spread of the novel coronavirus has caused steep declines in economic activity and state revenue, which will complicate states’ efforts to make expected annual contributions to worker retirement programs.
The U.S. is a superpower in the pension fund world, controlling more than 50% of global assets, and yet a recent Financial Times article identified a $1.6 trillion dollar funding gap as a grave threat to the U.S. economy.