Thursday, October 6, 2022 Oct 6, 2022
71° F Dallas, TX
Politics & Government

City of Dallas Employees’ Pension Had a Pretty Decent Year, I Guess

What do I know? All my money is in pork bellies.
By Tim Rogers |

The pension for the city of Dallas employees (aka the Employees’ Retirement Fund) put out a press release a bit ago crowing about their 2016 numbers. You can read the full release below. Net of fees, the ERF did 9.08 percent last year. Pretty good little year. Of course, if they’d taken the entire $3.2 billion fund, bought an ETF tied to the the Dow Jones Industrial Average, and reinvested the dividends, they would have gotten about a 16 percent return. [checks 401(k) statement from last year, decides to shut mouth, just post ERF press release]

Employees’ Retirement Fund of the City of Dallas
Announces Solid Investment Returns Topping 9% for 2016

Dallas, Texas (January 10, 2017) — The Employees’ Retirement Fund of the City of Dallas (ERF) announced solid investment returns today to support the pensions of the city’s civilian employees. The fund reported annualized one-year (2016) returns, net of fees, of 9.08 percent. The fund’s annualized returns, net of fees, was 8.82 percent for the past five years and 8.52 percent over thirty years. The fund manages assets of more than $3.2 billion and is more than 80 percent funded.

“These returns represent the commitment of our board and professional management to a diversified portfolio of quality conservative investments in partnership with the best internal and external management teams,” said John D. Jenkins, Chairman ERF Board of Directors. “City of Dallas employees work hard and contribute a significant amount of their salaries to the pensions they earn when they retire.”

The ERF Board, Dallas City Council and Dallas voters recently approved changes to the plan that will reduce pension liabilities by $2.15 billion over the next 30 years while maintaining the plan’s financial integrity and providing competitive benefits. The adjustment in benefits began in January 2017 for new city employees that takes into account longer life spans for retirees.

“These changes will provide future city employees with a secure retirement while assuring that the plan will maintain a strong financial position,” said Jenkins. “We appreciate the city council and public’s support and will continue to manage the fund for growth through conservative diversified investments.”

About Employees’ Retirement Fund of the City of Dallas

The Employees’ Retirement Fund of the City of Dallas (ERF) is a $3.2 billion pension plan for the city’s permanent civilian employees established in 1944. ERF’s Board has the fiduciary responsibility, for 7,000+civilian employees, 1,000+ deferred vested members, and 6,700+ retirees who depend on the Fund for their retirement.

Related Articles

Image
Politics & Government

Here’s the Short List for Dallas’ Next City Manager

This is an important decision. Let's take it seriously.
By Tim Rogers
Image
Politics

Poll: Should We Raise City Council Salaries?

Supporters of larger pay for council members argue it allows more people to consider serving their city in public office.
By Peter Simek
Local News

Leading Off (8/25/22)

Almost get fired, then get a raise two months later. Welcome to Dallas.