Upgraded site lets you dig into Raimondo’s pension dataMay 22nd, 2013 at 11:21 pm by Ted Nesi under Nesi's Notes, On the Main Site
They didn’t put out a press release, but Treasurer Gina Raimondo’s staff added more information about Rhode Island’s pension investments and expenses to the state government’s website on Wednesday.
The new Pension Investments site includes the portfolio’s investment returns over multiple time periods, its current asset allocation, its total hedge-fund fees in 2011-12 and the State Investment Commission’s monthly meeting reports, as well as an FAQ about expenses.
The information on hedge-fund fees will be closely scrutinized after Raimondo came under harsh criticism from a Forbes.com blogger for her decision to use the alternative investment vehicles. The data shows the pension fund spend $16 million on investment expenses in 2011-12, an amount that will presumably rise significantly this fiscal year because many of the hedge funds weren’t part of the portfolio for all of 2011-12, limiting fees.
In 2011-12, the costliest hedge funds were Och-Ziff Capital Management Group’s OZ Domestic Fund II LP, which got $1.9 million in fees, and the D.E. Shaw Group’s D.E. Shaw Composite International Fund, which got $1.81 million. All of the pension fund’s initial commitments to 20 hedge funds totaled between $20 million and $75 million, with the two largest commitments going to OZ Domestic and Brevan Howard LP.
The hedge-fund portfolio earned a 9.36% return during the year ended April 30, beating its benchmark but trailing the entire pension fund’s 13.38% return over the same period, according to Treasury data compiled by Bank of New York Mellon, its custodial bank, and Cliffwater LLC, its hedge-fund advisor.
• Related: Chart: How Raimondo has changed RI’s pension investments (April 4)