The Pennsylvania State Employees’ Retirement System returned 10.96% in fiscal 2025, with retirement assets reaching $40.425 billion as of June 30, investment staff noted at the pension system’s October 7 retirement board meeting.
For the calendar year through June , the fund posted a 6.29% return, including a return of 6.7% in the second quarter.
The fund’s best-performing asset in the was international developed markets equity, which returned 17.58% as of June 30, according to a news release from Penn SERS. Emerging markets equity and U.S. equity retuned 13.51% and 5.90%, respectively, while all other asset classes in the Penn SERS portfolio had low– to mid-single–digit returns.
As of June 30, the pension fund allocated 37.3% of its portfolio to U.S. equity, 17.1% to fixed income, 16.5% to private equity, 14.5% to international developed markets equity, 5.5% to real estate, 3.9% to cash, 2.5% to inflation protection, 1.9% to emerging markets equity and 0.8% to legacy private credit.
During the same meeting, the Penn SERS board approved a total of $250 million in commitments to three managers: $100 million to Blue Owl Real Estate Fund VII LP, $100 million to HarbourVest Dover Street XII L.P. and $50 million to Secondary Overflow Fund VI-A L.P., a sidecar vehicle that will co-invest alongside the HarbourVest Dover Street fund.
Penn SERS provides retirement benefits for Pennsylvania public employees. It has nearly 240,000 members.
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