State pension fund balance tops $100 billion

BOSTON — It’s always carried a hefty balance of assets, but the state pension fund has now cleared a threshold that might cause a few double takes.

The Massachusetts Pension Reserves Investment Management Board reported Thursday that the pension fund’s balance has crossed the $100 billion threshold for the first time, with about $101 billion in assets under management, according to the latest end-of-October estimate.

Investment gains of 29.5 percent set a record in fiscal 2021, according to fund officials, with gains for the one-year period ending in October netting out at $23.1 billion. Officials say the size of the PRIT Fund, which pays out about $1.2 billion in benefits annually, has more than doubled in the last 10 years.

The fund is managed on a day-to-day basis by MassPRIM Executive Director and Chief Investment Officer Michael Trotsky and overseen by a seven-member board that is chaired by state Treasurer Deborah Goldberg.

“This $101 billion milestone is historic in nature. It reflects the execution of a pragmatic focused strategy combined with excellent internal evaluation and analysis capabilities in both up and down markets,” Goldberg said in a statement. “It also goes without saying that this success would have not been possible without the talented and committed PRIM staff, whose work has not only benefitted the over 300,000 pension beneficiaries but the taxpayers of the Commonwealth as well.”

Pensions paid to employees with a stake in the fund are funded through employee contributions, public appropriations and fund investment gains. As of June 30, 2020, the state reported a net pension liability of about $40.8 billion, according to state financial disclosure documents published this month.

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