Letter from the Executive Director
We are pleased to release this Investment Report for 2025. Each year, PERAC publishes the returns and annualized past returns of each Massachusetts public retirement system, in addition to their funded ratio. This summary report allows readers to review the current and long-term performance of our systems and the steady, positive progress being made towards full funding. Our Annual Report will provide a more comprehensive view of our systems, both individually and collectively.
Following the adoption of Chapter 68 of the Acts of 2007, the Public Employee Retirement Administration Commission (PERAC) began issuing an Investment Report containing investment and funding results prior to the issuance of our Annual Report. Chapter 68 of the Acts of 2007 mandates that systems must meet certain investment and funding standards or they shall transfer their assets to the Pension Reserves Investment Management Board (PRIM) to invest in the Pension Reserves Investment Trust Fund (PRIT).
The two Chapter 68 standards are a funded ratio of 65% and investment returns within 200 basis points (2%) of PRIM’s 10-year investment performance. Based on investment performance results for 2025, the investment standard is 7.36% (PRIM 10-year return of 9.36% minus 2.00%).
This report delineates investment returns for several periods: 2025, 2021-2025 inclusive, 2016-2025 inclusive, and since inception through 2025. The funded ratios are as of the date of the most recent valuation available to PERAC. Ratios based on actuarial valuations received after
April 1, 2026, have not been included in this report.
For the systems from which we had full information at the time of this publication, PERAC has conducted its analysis of system funded status and investment performance in accordance with Chapter 68 of the Acts of 2007. Applying the tests set forth in that statute and PERAC Memo #35 of 2007 to the data that has been received, PERAC has determined that no retirement board, as of this publication, will be required to transfer its assets to the Pension Reserves Investment Trust Fund (PRIT) based on 2025 results.
This report is the result of the efforts of PERAC's Investment, Compliance, Actuarial, and Communications Units. On behalf of the Commission, I would like to thank Deputy Compliance Manager Sarita Yee and Investment Analysts Kellie-Anne Capurso and Anna Huang for their efforts in preparing this report. Lastly, we express our appreciation to the administrative staff at our retirement boards for their efforts in providing the detailed data that allows us to issue this report accurately.
I hope you find the report informative and helpful as you assess the state of our retirement systems.
Bill Keefe
Executive Director
Investment Report
Note: Numbers are subject to change as board data is reported, revised and reviewed.
* This figure for MWRA is based on a 40-year return.
^ Complete information was not available for this Retirement Board as of publication date.
Download a printable report
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Open PDF file, 2.7 MB, 2025 PERAC Investment Report (English, PDF 2.7 MB)
| Date published: | May 29, 2026 |
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