The California State Teachers’ Retirement System (CalSTRS) has announced a 13.9 percent net return on investments for the 2025-26 fiscal year. The total Teachers’ Retirement Fund was valued at $415.4 billion as of June 30.
CalSTRS is a long-term investor with a goal of achieving an average return of 7 percent to meet pension obligations. The 2025-26 return keeps CalSTRS on track, as the five-,10-, 20- and 30-year returns, including the 9.4 percent 10-year return, all surpass the actuarial assumption of 7 percent despite inflation, stock market volatility and geopolitical uncertainty.
CalSTRS is ahead of schedule to reach full funding by 2046. The CalSTRS funded status was 79.3 percent as of June 30, the eighth consecutive year the funded status has increased. The funded status has grown nearly 17 percentage points — from 62.6 percent to 79.3 percent — since 2017. Funded status refers to the ratio of CalSTRS’ assets to its total pension obligations.
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