
Asset Allocation
Record Returns Spur NY to Cut Assumed Return Rate to Below 6%
Employer contributions are also being reduced, while COLAs will be increased.
DiNapoli says a ‘more conservative approach’ needed for lower return environment.
Past returns over five years are lower, at 6.5% annually. The fund cites investing uncertainty in standing pat.
$100 billion pension debates new approaches after reducing assumed rate of return twice in recent periods.
Funding levels improving, but market volatility left some scars.
Investment performances miss mark for third time in 10 years.
Lowered projections could increase financial burden on state, local governments.