Office of Program Policy Analysis and Government Accountability
Office of Program Policy Analysis and Government Accountability

Oversight Report on the State Board of Administration's 1996-97 Investment Report

Report 98-10, August 1998




Report Summary

  • The State Board of Administration's (SBA) performance in investing Florida Retirement System assets has not only exceeded its overall investment objective in Fiscal Year 1996-97, but also for longer periods covering the last 20 years.
  • The SBA's allocation of Florida Retirement System assets was within ranges established in its long-term investment plan.
  • Investment returns for various asset classes were slightly higher or close to performance targets over one-, three- and five-year periods.
  • The SBA would have earned an additional $612 million in Fiscal Year 1996-97 if its external domestic equity active investment style managers performed as well as external passive investment style managers. It also would have saved $49 million in management fees if all of its externally managed domestic equity assets were invested by passive investment style managers.
  • The SBA's 1996-97 Investment Report contains reasonably accurate and reliable performance data. However, some areas could have been improved with the disclosure of additional information.


Related Reports
  1. Use of Investment Returns Has Increased; Plan for Addressing Associated Risks Should Be Documented
    Report 06-68 November 2006
  2. Multi-Year Projections of Retirement System Funding Should Be Provided to the Legislature
    Report 04-70 October 2004
  3. While State Board of Administration Investments Perform Relatively Well, the SBA Should Reassess Planned Expansion of Alternative Investments
    Report 02-37 June 2002
  4. Investment of Florida Retirement System Assets Meets Goals, But Earnings Could Be Increased
    Report 99-52 May 2000
Copies of this report in print or alternate accessible format may be obtained by email OPPAGA@oppaga.fl.gov, telephone (850) 488-0021, or mail 111 W. Madison St., Room 312 Tallahassee, FL 32399-1475.
Copies of this report in print or alternate accessible format may be obtained by email OPPAGA@oppaga.fl.gov, telephone (850) 488-0021, or mail 111 W. Madison St., Room 312 Tallahassee, FL 32399-1475.
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