Connect with us

Alaska SWF Flat for Fiscal Year 2012

Published

on

According to the permanent fund’s press release, “According to preliminary data released today by the Alaska Permanent Fund Corporation, the Permanent Fund’s investments returned 0.02 percent for the fiscal year ending June 30, 2012, and closed with a value of $40.3 billion. This was up $193 million from the end of the prior year, and the Fund outperformed the composite benchmark return of -0.2 percent.

“It was a volatile year for the global stock markets, particularly overseas markets,” said Michael Burns, CEO. “Stocks make up about half of the Fund’s investments, so they had the largest impact on our performance. However the bond and real estate portfolios performed quite well over the course of the fiscal year, helping mitigate the poor performance from stocks and creating a positive return for the Permanent Fund.”

In the first quarter of the fiscal year stock markets were sharply down, feeling the drag of slow growth domestically and political and economic turmoil overseas. Markets then appeared to return to normal, rallying through the second and third quarters, especially in the U.S. But overseas markets were shaken by continuing woes and fell into double digit losses in the fourth quarter, creating a net negative return for the stock portfolio despite positive returns in the U.S. markets.

The Fund’s U.S. stock portfolio returned 2.3 percent. The non-U.S. portfolio returned -14.6 percent while the global portfolio returned -4.7 percent.

Continued concerns over the stability of Eurozone sovereign debt, along with slowing growth in emerging market countries drove investors to the U.S. As a result, U.S. bonds returned 7.8 percent. Compared to stocks, even non-U.S. bonds still seemed safe to investors by comparison, and the portfolio returned 6.5 percent.

Real estate also performed well over the year, and preliminary results show the Fund’s investments returned 11.4 percent. Final audited performance results for real estate and the other asset classes will be available at the Board’s annual meeting in September.

The Fund’s absolute return portfolio was flat at 0.4 percent for the fiscal year. This portfolio includes funds that specialize in absolute return strategies, distressed debt, mezzanine debt and other directed investments. The real return portfolio returned 5.7 percent for the period. This portfolio is comprised of five portfolios, with each manager allowed to set their asset allocation within the risk parameters set by the APFC. This allows them to select from the same range of asset types found within the rest of the Permanent Fund. Private equity returned 9.8 percent for the fiscal year and infrastructure returned -8.4 percent.”

Read more: Alaska Permanent Fund Press Release

Mauritius Aims to Sell Citizenship and Passports to Bolster National Wealth Fund

Published

on

The island country of Mauritius plans to offer foreigners a chance to obtain country citizenship in exchange for a non-refundable contribution of US$ 1 million to the national sovereign wealth fund. [ Content protected for Sovereign Wealth Fund Institute Standard subscribers only. Please subscribe to view content. ]

Continue Reading

CapitaLand Aims to be a Real Estate Funding Machine

Published

on

CapitaLand Investment Management, a real estate investment management arm of Singapore-based CapitaLand, hired Caleb Shen as managing director for fund management. CapitaLand is keen on growing its real estate fund management business. [ Content protected for Sovereign Wealth Fund Institute Standard subscribers only. Please subscribe to view content. ]

Continue Reading

Treasurer Perrottet Reveals the NSW Generations Fund

Published

on

New South Wales wants its own Future Fund.

[ Content protected for Sovereign Wealth Fund Institute Standard subscribers only. Please subscribe to view content. ]

Continue Reading

Popular

© 2008-2018 Sovereign Wealth Fund Institute. All Rights Reserved. Sovereign Wealth Fund Institute ® and SWFI® are registered trademarks of the Sovereign Wealth Fund Institute. Other third-party content, logos and trademarks are owned by their perspective entities and used for informational purposes only. No affiliation or endorsement, express or implied, is provided by their use. All material subject to strictly enforced copyright laws. Registration on or use of this site constitutes acceptance of our terms of use agreement which includes our privacy policy. Sovereign Wealth Fund Institute (SWFI) is a global organization designed to study sovereign wealth funds, pensions, endowments, superannuation funds, family offices, central banks and other long-term institutional investors in the areas of investing, asset allocation, risk, governance, economics, policy, trade and other relevant issues. SWFI facilitates sovereign fund, pension, endowment, superannuation fund and central bank events around the world. SWFI is a minority-owned organization.