Retirement insights from a Colorado PERA perspective

Inside Colorado PERA

We Hear You: PERA’s Investment Benchmarks

Investment Benchmark

New video series answers your questions about PERA’s investment program.

How are investment performance goals set? How does PERA determine benchmarks for non-publicly traded assets like private equity and real estate? How have PERA’s investments performed over the long-term?

Questions like these are addressed in the newest edition of
the PERA “We Hear You” videos. These videos feature interviews with PERA’s
Chief Investment Officer as well as members of the investment staff answering
questions from PERA members.

The video program is designed to complement the extensive
information
about these practices – everything from asset allocation
to performance metrics – available on PERA’s website and included in the Comprehensive Annual Financial Report.

The PERA’s Investment benchmarks video covers how the PERA investment team works with the PERA Board of Trustees to establish performance targets and reviews the long-term goals of the investment program. Watch it below, on the copera.org website, or on PERA’s YouTube channel.

Have a question? Please keep them coming using this link; future
videos will be based on your questions and will include information about the
work we do for you.

We Hear You Video: PERA’s Investment Benchmarks

Additional resources:

What Is a Policy benchmark?

We
Hear You: PERA’s Investment Program Overview

Asset allocationAn investor’s mix of stocks, bonds, and other investments. PERA’s strategic asset allocation is set by the PERA Board of Trustees.Private equityA type of investment in which investors purchase shares of a company that is not traded on a public stock exchange.BenchmarkA tool used to measure performance. For example, an investor can use a stock index as a benchmark to measure his/her own investment performance compared to the market as a whole.BenchmarkA tool used to measure performance. For example, an investor can use a stock index as a benchmark to measure his/her own investment performance compared to the market as a whole.BenchmarkA tool used to measure performance. For example, an investor can use a stock index as a benchmark to measure his/her own investment performance compared to the market as a whole.BenchmarkA tool used to measure performance. For example, an investor can use a stock index as a benchmark to measure his/her own investment performance compared to the market as a whole.

Comments

  1. David Irwin says:

    Please publish, on this site, a comparison of PERA’s investments with a Vanguard broad market index fund over the past 15 years.

  2. Colorado PERA says:

    Mr. Irwin,

    PERA’s 10-year investment performance as of the end of 2017 is 6.0%, outperforming the policy benchmark. (More on the policy benchmark is here: https://www.peraontheissues.com/index.php/2017/09/05/policy-benchmark/)

    As a long-term institutional investor, PERA uses a diversified portfolio, internally manages two-thirds of assets, and seeks to limit risk when investing on behalf of retirees and those members who may have just started careers in public service. Thus, the investment horizon is decades long.

    For more information on active and passive management of assets, please see this post: https://www.peraontheissues.com/index.php/2016/08/16/active-passive-management-brief-summary/

  3. Suzanne J Kemp says:

    I thought the video on the history of PERA was wonderful. It enabled me to understand a complex situation. Thank you for prooducing it.

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