Rhode Island Pension Fund Continues Strong Run, Earns $58.4 Million in March

April 26, 2017: Six months after announcing its ‘Back to Basics’ investment strategy, Rhode Island’s pension fund continued its strong run, returning 0.75% in March despite flat performance in the US stock market, General Treasurer Seth Magaziner announced at today’s meeting of the State Investment Commission.

"We designed our investment portfolio to provide long-term growth and less risk,” said Treasurer Magaziner. “As we are in the process of moving away from hedge funds and into more traditional investments, it is encouraging to see the pension system beat the US stock market and continue to grow healthier and more secure.

International stocks were the fund’s top performers earning 2.53% on the month, while US stocks experienced a mid-month dip before ending with only a 0.06% increase. With three months remaining in the fiscal year, the fund has earned 8.76% in just nine months, beating its own benchmark of 8.31% and a 60% stock/40% bonds portfolio which would have earned 7.43%

In 2016, the State Investment Commission approved Treasurer Magaziner’s ‘Back to Basics’ investment strategy, which is designed to strengthen performance and reduce risk. Included in ‘Back to Basics’ is the move to exit most of the state’s investments in hedge funds in favor of more traditional strategies for growth and stability.

 All performance reported is net of fees. Detailed information about the fund’s investment strategy, performance and managers can be found online at: investments.treasury.ri.gov