VRS Experiences 19.1 Percent Return for 2011

News provided by

Aug 24, 2011, 04:44 ET

RICHMOND, Va., Aug. 24, 2011 /PRNewswire-USNewswire/ -- The Virginia Retirement System (VRS) experienced a 19.1 percent return (net return) on its investment portfolio for fiscal year 2011, ending the year with $54.5 billion in assets.

"We are pleased with last year's results, especially in light of steps taken in recent years to better diversify the fund. On a risk-adjusted basis, last year's performance was outstanding," said VRS Chief Investment Officer Charles W. Grant.

During fiscal year 2011, the fund's public equity program returned 27.2 percent and the real estate program returned 23.2 percent. The private equity program returned 17.6 percent and the credit strategies program returned 14.7 percent, while fixed income returned 5.8 percent.

The portfolio included $25.9 billion in public equity, $10.9 billion in fixed income, $7.7 billion in credit strategies, $4.8 billion in private equity and $3.7 billion in real estate, as of June 30, 2011.

"The investment staff did a remarkable job by achieving these results after the board reduced the portfolio's risk to better protect the trust fund from big market swings. Moreover, it marks the point at which the investment program earned back all the losses previously incurred during the market collapse in 2008 and 2009," said VRS Board Chairman Diana F. Cantor.

VRS serves approximately 600,000 members, retirees and beneficiaries. The active employees include about 146,000 teachers, 104,000 local government employees and about 90,000 state employees. In addition, VRS provides benefits to over 156,000 retirees and beneficiaries. The retirement system ranks as the nation's 22nd largest public or private pension fund.

SOURCE Virginia Retirement System