News Archive

"Public pensions, normally the first to lead securities fraud cases, have been notably absent from the Apollo/Epstein stock drop litigation. That absence may reflect a deeper conflict: the same pensions that could sue Apollo for misleading disclosures are heavily invested in its private equity and private credit funds, where valuations remain opaque and untested."  MORE >>

46 pages. "This report breaks down financial and investment data by fiscal year-end dates -- incorporating data collected from fall 2021 through fall 2025 to more clearly reflect performance trends over time."  MORE >>

"Communications leaders should play a leading role in the application and understanding of new and evolving tools such as artificial intelligence.... The era of searching for information is quickly being replaced with the era of simply asking for it. This means communicators must also focus on how the people they serve use AI to find information."  MORE >>

"State-administered defined contribution plans must offer self-directed brokerage accounts with at least one cryptocurrency investment option by July 1, 2027, with governing boards authorized to set investment parameters, valuation methodologies, and administrative fees."  MORE >>

"This article provides a high-level overview of the most common retirement plan structures used by governmental employers, including defined benefit pension plans, 457(b) deferred compensation plans, 401(a) defined contribution plans, and hybrid approaches that combine elements of these structures."  MORE >>

"TPA does away with a strategic asset allocation (SAA), in favor of setting a reference benchmark (say, 80% equities / 20% bonds). The CIO and investment staff then build a portfolio which has a similar risk profile as the reference benchmark but eliminates formal asset class limits which exist in the SAA approach.... As CIOs of mid-market public pension plans, [the authors] see several challenges with TPA that are papered over or simply not addressed in most discussions."  MORE >>

"In 2011 and 2012, Alabama enacted major reforms to manage the runaway growth of the state's public employee pension debt. The changes, including higher retirement ages, increased employee contributions, and reduced benefits for new hires, were some of the most extensive in the nation.... Fourteen years later, the need for another round of reform is as great as ever."  MORE >>

"The law set July 1, 2027 as the deadline for the state plans to offer self-directed brokerage accounts with at least one [digital asset] option. Affected plans are Hoosier START, the state's public employees' deferred compensation plan, which offers 457(b) and 401(a) plans; the state legislators' defined contribution plan; and other retirement funds and accounts for 'specified' public employees and teachers."  MORE >>

"[The authors] found that after the implementation of accounting standards changes, there was a decreasing trend in discount rates and a corresponding increase in reported pension liabilities.... [T]his enhanced transparency strengthens the fiscal discipline mechanism, driving increases in employer contributions and more conservative investment return assumption.... [T]hese findings were especially pronounced among insufficiently funded plans, suggesting transparency is the most effective when fiscal stress is highest."  MORE >>

11 pages. "[On] a national basis, contributions made by employers -- states and local governments -- in 2024 accounted for 76 percent of all contributions received by public pension plans. The remaining contributions were paid by employees.1 A 2025 NASRA issue brief finds that contributions made by state and local governments to pension trust funds in recent years account for 5.1 percent of all non-federal spending."  MORE >>

"This article explores how participant data quietly erodes over time, and why missed deaths and missing participants are often early warning signs of broader risk. It highlights the impact of geographic dispersion and outlines how forward-looking plans are shifting from reactive fixes to defensible data governance. The result: greater confidence in the decisions that matter most as public retirement systems look toward 2026."  MORE >>

"[P]ublic pension liabilities are not legally treated as general obligation-type debt and are not subject to the safeguards restricting GO debt undertakings. In some states, these pension obligations have even stronger claims on the full-faith and credit of the state than GO debt. The lack of general obligation debt type safeguards constraining public pension liabilities has significant implications on the financial risk position of state and local governments"  MORE >>

61 pages. "As Bitcoin, regulated stablecoins, and crypto-linked equities have gained legitimacy in institutional finance through recent federal actions, a handful of public pension funds have begun taking limited exposure, and many more have been quietly exploring the possibility of entering the market. This report finds that Bitcoin's growing institutional and monetary adoption, its fixed supply, and historical performance indicate that it can be a legitimate -- though highly volatile -- return and diversification instrument for public pensions."  MORE >>

"Unlike the Federal FMLA, the CT FMLA does not require employers to maintain an employee's group health benefits during the period an employee is on CT FMLA leave to the same extent as if the employee was still working. However, there may be other applicable laws, contractual provisions, or policies that do require such coverage when an employee is out on CT FMLA leave, even if no other leave is being run concurrently."  MORE >>

"[T]he pension reforms that [a recent study] claims are detrimental to employees often lead to better benefits and retirement security, while ensuring the sustainability of retirement systems. These reforms also prevent pension debt from crowding out essential public services during economic downturns -- ensuring that state and local governments can continue to serve their communities."  MORE >>

"[I]ndependent journalist and teacher Jim Vail documented a striking confrontation between Teacher Trustee Erika Meza and the Chicago Teachers' Pension Fund's external consultant, Callan Associates ... The exchange highlights the growing tension between rank-and-file educator fiduciaries and institutional insiders pushing private markets -- especially private equity -- with all of the attendant cost, complexity, and opacity that has plagued many U.S. public pension systems."  MORE >>

"Although the Court's analysis relied on statutes specifically applicable to municipal pension systems and the City's charter, the statutory frameworks governing other local systems -- including for counties and cities participating in CalPERS -- contain materially similar requirements supporting the broader applicability of the Court's reasoning." [City of San José v. Howard Jarvis Taxpayers Assoc., No. S285426 (Calif. Dec. 18, 2025)]  MORE >>

"Public pension funds are entrusted with safeguarding financial security for their members and beneficiaries. Yet even well-managed systems face risks when participant records are incomplete, deaths go unreported, or beneficiaries cannot be located.... Protecting the future requires pension funds to conduct timely audits that close data gaps, strengthen system integrity, and ensure accurate benefit delivery."  MORE >>

"There is a popular myth in the financial media that reaching an 80% funded status is the ultimate benchmark for pension plan health. In reality, ... funded status alone rarely provides a complete picture of a pension system's well-being.... Public pension plans in this position may want to consider [specific] actions to help protect and build on this valuable ground gained.... [P]lans that are not quite there should also take a cue from these concepts[.]"  MORE >>

"The main takeaways are that in addition to selecting qualified staff, the public funds with the best funded status and risk management are those where there are: [1] effective governance and delegation of responsibilities between Boards and investment staff, [2] continuity of tenure in both organizations, [3] empowerment of staff to be long-term investors, and [4] a collaborative environment."  MORE >>

"The estimated funded status of the 100 largest U.S. public pension plans increased from 85.4% as of September 30, 2025, to 86.3% as of October 31, 2025 ... This surpasses the highest funded ratio previously recorded [by Milliman] -- 85.5%, set on December 31, 2021 -- and marks the seventh straight month of funding improvement, the longest run of good news since the 2016 inception of the PPFI."  MORE >>

"The average account balance for public-sector DC plan participants increased with age and tenure.... The average and median employee contribution amounts increased with age.... The average and median employee contribution rates (employee contributions divided by salary) were 6.4 percent and 3.7 percent.... Participants in their 20s had the largest allocations to target-date funds (71.3 percent)."  MORE >>

"[T]he court of appeal concluded that the Regents had never communicated with members in a way that would reasonably create any confusion over the availability of retroactive retirement rights, and thus did not have a fiduciary duty to dispel such confusion. [The court also held] that retirement systems' fiduciary duties to their members do not mean that systems have a duty to maximize each member's benefits. That is, systems are not under any obligation to provide a member bespoke advice that will maximize their retirement allowance in light of their own particular circumstances." [Mass v. The Regents of the Univ. of Calif., No. A170424 (Calif. Ct. App. Oct. 28, 2025)]  MORE >>

"The California pension approved the proposed change to implement TPA -- the first institutional allocator in the U.S. to do so -- by July 2026.... The total portfolio approach views and manages portfolio assets under a single objective, in contrast to strategic asset allocation, in which separate asset classes are siloed and managed separately. TPA has become increasingly appealing for asset owners in recent years."  MORE >>

"State and local governments have been making higher pension contributions to their employees' pension funds, but not because public pension benefits have become more generous. Instead, growing debt from past underfunding of pension benefits has largely driven the increase in contribution rates. Today, the majority of contributions made to public pension systems go toward amortizing unfunded liabilities rather than funding the benefits promised to current employees."  MORE >>