Santa Barbara County Employees Pension Fund posts 0.3% return for the year, above benchmark


For the most recent fiscal year, the pension fund received significant allocations to private equity, private real return and real estate, which accounted for more than 34% of SBCERS’ total assets. Exposure to these asset classes helped offset weak returns from public equities and fixed income securities resulting from a challenging market environment.

For the year ended June 30, the Russell 3000 Index and the Bloomberg US Aggregate Bond Index posted returns of -13.9% and -10.3% respectively, compared to returns of 44.2% and 4 .6% for the year ended June 30, 2021.

The best performing asset classes for the year ended June 30 were real estate, which returned a preliminary net return of 34.6%; private equity, which delivered a net return of 27.5%; and the Private Real Yield, which returned a net 25.9%.

Benchmark returns for these asset classes lagged a quarter.

These returns were followed by the public real return, which returned a preliminary net of -1.7% (no benchmark provided); non-strategic fixed income, which had a preliminary net return of -6.2% (above the benchmark of -8.8%); Core Fixed Income, -10.2% (-10.3%); domestic stocks, -11.2% (-13.9%); emerging market equities, -16.8% (-25.3%); and Developed Markets International Equities, -16.9% (-17.8%).

As of June 30, SBCERS’ actual allocation was 16.7% domestic equities, 15.6% core fixed income, 14.1% private equity, 10.7% real estate, 9.5% private real return and non-core fixed income, 9.2% international developed market equities. , 6.4% emerging market equities, 6.2% public real return and 2.1% cash and other.

Rebecca Valdez, chief investment officer, could not immediately be reached for further information.


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