Massachusetts Pension Reserves Investment Management

We are pleased to announce that the Government Finance Officers Association (GFOA) of the United States and Canada has awarded the "Certificate of Achievement for Excellence in Financial Reporting" to the Massachusetts Pension Reserves Investment Management Trust Fund for the comprehensive financial report covering the fiscal year ended June 30, 2023. It is the 19th consecutive year in which MassPRIM has received this recognition. The #MassPRIM report has been judged by an impartial panel to meet the high standards of the program, which includes demonstrating a constructive "spirit of full disclosure" to clearly communicate its financial story and motivate potential users and user groups to read the report.? This program was established by #GFOA to encourage state and local governments to go beyond the minimum requirements of generally accepted accounting principles and to prepare annual reports that demonstrate the spirit of transparency and full disclosure.? The Certificate of Achievement is the highest form of recognition in the area of governmental accounting and financial reporting, and its attainment represents a significant accomplishment. #financialreporting #pensionfunds #investment #investmentmanagement #accounting #transparency

Our co-investment program has created significant cost efficiency for the #MassPRIM PRIT Fund.

Massachusetts Pension Reserves Investment Management today announced that the PRIT Fund ended Fiscal Year 2024 (June 30, 2024) with a record balance of $105.3 billion. This surpassed the previous high of $96.6 billion recorded for the fiscal year ended June 30, 2023. The PRIT Fund returned 9.9% (9.5% net) for a net gain of $9.1 billion in FY '24, with five of the seven asset classes outperforming their benchmarks. #MassPRIM staff researched and deployed $6.6 billion in new investments during the year. "This?$105.3 billion record balance?reflects the execution of a pragmatic focused strategy combined with excellent internal evaluation and analysis capabilities in both up and down markets,"?said State Treasurer Deborah B. Goldberg,?Chair of the MassPRIM Board. “The people who depend on us, the more than 300,000 beneficiaries, should feel secure in knowing they have gotten outstanding performance?from this tremendous group who work at PRIM.” In addition to winning a number of external awards, honors, and certifications, #MassPRIM achieved these milestones with zero staff departures during fiscal 2024. MassPRIM has been able to attract and retain some of the best talent in the highly competitive investment management field.

Michael G. Trotsky, Executive Director and Chief Investment Officer of Massachusetts Pension Reserves Investment Management (#MassPRIM), has been selected to receive the Lifetime Achievement Award from The Allocator newsletter - a publication of With Intelligence, which produces investment data and analysis. In announcing the Lifetime Achievement Award - which will be officially presented during #TheAllocatorPrizes ceremony on October 17 - the newsletter's editors called MassPRIM “a beacon of public service and investment prowess" for the Commonwealth of Massachusetts. The Allocator called Trotsky "a too-rare example of a successful transplant from the private sector into U.S. public asset management.” Trotsky's strong performance in professionalizing #MassPRIM during more than 14 years of leadership, by attracting star talent and retaining top staff, were also cited. “The stability of the organization under Michael’s leadership has been exceptional. We’ve seen the assets go from $40 billion to more than $100 billion, and the size of the staff grow. It has been highly professionalized," MassPRIM Board member Robert Brousseau said, in comments for The Allocator announcement. #WithIntelligence and #TheAllocator also lauded MassPRIM as "one of the country's best public investment operations" during Trotsky's tenure. "Michael Trotsky’s exceptional leadership encourages a strong culture of collaboration, with a drive towards excellence, resulting in MassPRIM being recognized across the entire industry,” said state treasurer Deborah B. Goldberg, chair of the MassPRIM board. "He has demonstrated a strong commitment to innovation, efficiency, and outstanding investment management, which directly benefits all public employees, retirees, and their families. Michael is extremely deserving of this honor."

Portfolio returns from the Massachusetts Pension Reserves Investment Management #PRITFund surged during the final quarter of 2023 and performed strongly for the full calendar year. This performance by #MassPRIM brought the PRIT Fund to $101 billion in total assets at the end of December 2023. For the December quarter, the PRIT Fund was up 6.2% gross (6.1% net). For the calendar year 2023, the PRIT Fund was up 11.4% gross (11.0% net.) This return equates to a net investment gain of $10 billion.

Diverse investment managers now oversee more than $11 billion in assets for?Massachusetts Pension Reserves Investment Management's PRIT Fund. That's over 11% of the Fund's total assets, and it builds on $4.4 billion the PRIT Fund had invested before the passage of Investment Equity Legislation in 2021, through Treasurer Deb Goldberg’s leadership. ? The legislation established a goal of placing 20% of the PRIT Fund's assets with diverse investment managers, and reducing barriers for diverse managers in the investment field. ? Since 2021, PRIM has allocated or committed more than $6.7 billion dollars to diverse investment managers. That increase reflects the work of MassPRIM’s FUTURE Initiative - our strategic plan to achieve the legislation's goals and to position PRIM as a leader in improving diversity in the asset management industry. In addition, the PRIT Fund has now allocated $590 million dollars to emerging-diverse managers as part of our $1 billion Emerging-Diverse Manager Program. ? MassPRIM was a founding signatory to the CFA Institute’s DEI Code for the Investment Profession, and we continue to champion this Code for the industry. PRIM also ranks eighth among the largest 200 U.S. funds for assets managed by diverse managers, well above our rank in total asset size. ? Our FUTURE Initiative continues to earn recognition. In 2023, the Private Equity Women Investor Network (PE-WIN) recognized PRIM as a “Limited Partner of the Year” for “empowering women in private equity” – reflecting not only the efforts of our FUTURE Initiative, but also the strong leadership presence of women on PRIM’s own PE team.

Earlier this year, Institutional Investor recognized Massachusetts Pension Reserves Investment Management's Private Equity team with its coveted Alpha Edge designation. As part of this award for the team’s “strong leadership, collaboration, and thesis-driven approach,” II’s Allocator Intel sat down with Michael McGirr, CFA, #MassPRIM’s Director of Private Equity. In the interview, McGirr talked about what makes MassPRIM’s approach special: “We believe a few factors drive the success of PRIM’s private equity program. PRIM’s size and longevity in the asset class allows us to invest with some of the best managers and gives us access to attractive co-investment opportunities. Located in the heart of Boston, PRIM benefits from being in a major metropolitan area that is also one of the birthplaces of the private equity and venture capital industry. Additionally, our highly skilled staff operate a disciplined and rigorous investment process that focuses on objective measurements in the initial phases and defers to more subjective judgments in the latter stages of due diligence," McGirr told Institutional Investor. “PRIM has done an excellent job building an extremely high-performing team. This has only been possible due to our strong leadership. We have stability and continuity across our board and investment committee, including the Chair of the PRIM Board, Treasurer Deb Goldberg.” Office of the Massachusetts State Treasurer and Receiver General #investing #publicpensionfunds #assetallocation #privateequity Read more here: