WEST SACRAMENTO, Calif. (AP) - California’s teacher pension system says its investments surpassed the earnings target for the second straight year.
The California State Teachers Retirement System reported Friday that its investments returned 9 percent in the fiscal year that ended June 30. The nation’s second-largest public pension fund had just under $224 billion in assets on that date.
Fund managers seek to earn 7 percent per year on investments.
The returns were driven by double-digit earnings in public and private equity as well as real estate investments.
CalSTRS provides retirement benefits for 933,000 current and former public school teachers and their families.
As of June 30, 2017, the system had enough assets to cover about 63 percent of the promised benefits.
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