If you are seeking investment help, look at the video here on my services. If you are seeking a different approach to managing your assets you have landed at the right spot. I am a fee only advisor registered in the State of Maryland, charge less than half the going rate for investment management, and seek to teach individuals how to manage their own assets using low cost indexed exchange traded funds. Please call or email me if interested in further details. My website is at http://www.rwinvestmentstrategies.com. If you are new to investing, take a look at the "DIY Investor Newbie" posts here by typing "newbie" in the search box above to the left. These take you through the basics of what you need to know in getting started on doing your own investing.
Monday, July 30, 2012
Maryland's $37 billion state retirement and pension system for employees and teachers earned .36% over this period.
Last week CALPERS, the country's largest public pension fund, at $233 billion, reported a return of 1% for the 12-month period ended June 30, 2012.
Interestingly, a basic indexed portfolio invested 55% in SPY (S&P 500), 15% in VEU (global less U.S.), and 30% in AGG (U.S. investment grade bond market) would have returned 2.6% before fees.
The difference between .36% and 2.6% for the $37 billion Maryland pension fund amounts to $828 million. That would go a long ways toward paying Maryland teacher pensions.
I have to agree with Jeff Hooke, Chairman of the Maryland Tax Education Foundation, who said the results "look like a minor disaster for fiscal 2011."
Source: MarylandReporter.com Md. pension system earns close to nothing in past year by Len Lazarick