VRS Achieves 13.0 Percent Return for 2012

Feb 14, 2013, 16:37 ET from Virginia Retirement System

RICHMOND, Va., Feb. 14, 2013 /PRNewswire-USNewswire/ -- The Virginia Retirement System (VRS) achieved a 13.0 percent net return on its investment portfolio for calendar year 2012, ending the year with $55.5 billion in assets. 

"All asset classes performed well and we are very pleased with the results that we were able to achieve this calendar year. Given favorable market conditions, we exceeded the long-term assumed rate of return of 7 percent, and we also beat the custom long-term benchmark of 11.6 percent," said VRS Chief Investment Officer Ronald D. Schmitz.

During calendar year 2012, the public equity program returned 16.1 percent, the private equity program returned 14.4 percent, the real assets program returned 13.9 percent, the credit strategies program returned 13.6 percent and the fixed income program returned 5.9 percent.

The portfolio included $23.9 billion in public equity, $10.7 billion in fixed income, $11.0 billion in credit strategies, $4.7 billion in private equity and $4.9 billion in real assets, as of December 31, 2012.

"The staff has done a remarkable job of managing the portfolio within the board's investment policy guidelines and generating strong returns without taking on more risk," said VRS Board Chairman Diana F. Cantor.

VRS serves approximately 600,000 members, retirees and beneficiaries.  The active employees include about 146,000 teachers, 103,000 local government employees and about 91,000 state employees.  In addition, VRS provides benefits to over 168,000 retirees and beneficiaries.  The retirement system ranks as the nation's 21st largest public or private pension fund.

SOURCE Virginia Retirement System