The trustees of the State Universities Retirement System (SURS) on Dec. 7 approved retaining J.P. Morgan Asset Management (JPM) and Man Numeric to manage 130/30 equity extension mandates for US and non-US portfolios, respectively, pending successful contract negotiations. A 130/30 strategy removes the long-only constraint and allows a manager to implement short positions to generate returns from stocks they dislike, in addition to taking long positions in stocks they view positively. This is a new strategy within SURS Traditional Growth Asset Class.
In other business:
- The board approved SURS fiscal year 2026 certified state contribution of $2,319,446,000.
- Trustees accepted the Actuarial Valuation Report and GASB 67/68 Report dated June 30, 2024. The reports are posted on surs.org at https://surs.org/business/investments/actuarial-valuation-reports/.
- Trustees also accepted the State Actuary’s Preliminary Report regarding the review of assumptions and methods used in the June 30, 2024 Actuarial Valuation.
- The board increased the fiscal year 2026 effective rate of interest to 7.25% from 7.0%. The SURS effective rate of interest is used for the calculation of service credit purchases, refunds of survivor and excess contributions, Traditional and Portable defined benefit plan refunds, and lump-sum Portable plan retirements.