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Asset Allocation
Our Current Mix of Assets as of March 31, 2025
| Assets | Market Value | Actual | Target | Difference1 |
|---|---|---|---|---|
| Public Equity2 | $6,098,715,334 | 50.7% | 48.0% | 2.7% |
| Safe Haven Fixed Income3 | $1,293,750,051 | 10.8% | 10.0% | 0.8% |
| Risk Seeking Fixed Income | $492,198,695 | 4.1% | 4.0% | 0.1% |
| Real Estate | $835,301,627 | 6.9% | 8.2% | -1.3% |
| Private Equity | $988,491,159 | 8.2% | 11.0% | -2.8% |
| Absolute Return | $1,026,036,318 | 8.5% | 6.0% | 2.5% |
| Real Assets | $762,712,438 | 6.3% | 6.0% | 0.3% |
| Private Credit | $517,437,867 | 4.3% | 6.8% | -2.5% |
| Cash + Overlay4 | $15,448,778 | 0.1% | 0.0% | 0.1% |
| Total Investment Assets5 | $12,030,092,267 | 100.0% | 100.0% |
1 The Difference between Total Exposure and Policy.
2 Public Equity Total Exposure is the sum of Physical Exposure, $6.0B, and Overlay Exposure,
$133.2M, for a Total Equity Exposure of $6.1B.
3 Safe Haven Fixed Income Total Exposure is the sum of Physical Exposure, $1.3B, and Overlay
Exposure, $36.6M, for a Total Safe Haven Fixed Income Exposure of $1.3B.
4 Cash + Overlay Exposure is the sum of Physical Cash Exposure, $152.9M, Parametric Account
Value, $32.3M, and Overlay Exposure, -$169.8M, for a Total Cash + Overlay Exposure of $15.4M.
5 May not sum to 100% due to rounding.
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Asset Classes
What We Invest In
| Asset Class | Target % of Fund | What It Is |
|---|---|---|
| US Equity (U.S. Stocks) |
24% | Stock in U.S. companies. When you buy shares in a company in the form of stocks, you are part owner of the company, and can be paid part of the company’s profits. If you sell your shares for more than you bought them for, you keep the gain. |
| International Equity (Non-U.S. Stocks) |
24% | The same as domestic equity, except the companies are headquartered outside of the U.S. |
| Fixed Income (Bonds/Debt) |
14% | Primarily bonds. A bond is where a company or government entity borrows your money for a defined period of time at a fixed or floating interest rate. |
| Real Estate (Real, Tangible Properties) |
9% | Land plus any fixed structures on the land. Profit from real estate investments can come from rent or selling property for more than you paid for it. |
| Private Equity (Non-Public Companies) |
11% | An investment that is not one of the three traditional asset types (stocks, bonds, and cash). Private Equity includes companies that invest in startup and non-public companies or in fixing companies whose business is lagging. |
| Absolute Return (Stable, positive returns) |
8% | Investment strategies which produce returns that are uncorrelated to the other asset classes and enhance diversification. They include a variety of hedge funds, fund of hedge funds, and alternative premia strategies along with private investments. |
| Real Assets (Inflation Hedge) |
6% | Real assets, i.e. tangible assets that have value due to their substance and properties. They can include precious metals, agricultural commodities like wheat and coffee, and oil. Profit from real assets comes from increases in price of the assets. |
|
Private Credit (Loans/Debt) |
4% | Senior secured, first or second lien loans made to private companies. The loans are typically floating rate loans made to companies with the equivalent of low-investment-grade to high-below-investment-grade credit quality. A large proportion of the loans are made to companies owned by a private equity sponsor. Returns are generated from interest on the loan, fees, and the return of principal. |
