The brief’s key findings are:
- Public pension plans are increasingly relying on alternative investments and active management.
- But how does plan performance compare to a simple 60/40 index over various periods from 2000-2023?
- Over the full period, plan returns are virtually identical to the simple index strategy, but plans have done much worse since the Global Financial Crisis.
- If the current approach doesn’t yield higher long-term returns, a strong argument can be made for sticking with a simple, transparent strategy.
The brief’s key findings are:
- Public pension plans are increasingly relying on alternative investments and active management.
- But how does plan performance compare to a simple 60/40 index over various periods from 2000-2023?
- Over the full period, plan returns are virtually identical to the simple index strategy, but plans have done much worse since the Global Financial Crisis.
- If the current approach doesn’t yield higher long-term returns, a strong argument can be made for sticking with a simple, transparent strategy.
