The California State Teachers’ Retirement System (CalSTRS) has fallen short of its investment return target for the fiscal year ending June 30, the pension fund announced on July 23.
The system was targeting a 7 percent return over a multiyear horizon to meet pension obligations. However, it only recorded a rate of 6.8 percent.
“It was a roller coaster year and a very challenging environment in which to generate returns,” said Christopher Ailman, chief investment officer at CalSTRS. “Thanks to the in-house expertise of our investment team, we were able to come very close to our assumed rate of return despite the instability of the market.”
The three-year, 10-year, and 25-year fund performances are all above the 7 percent investment return assumption, at 9.7 percent, 10.1 percent, and 8 percent, respectively, according to CalSTRS.
“Returns are a key factor in meeting our pension obligations, but they are only one part of the shared responsibili
