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Your Pension Fund is Strong
Your Pension is Secure

The COVID-19 pandemic has caused economic uncertainty as well as a public health emergency. Businesses are struggling, more people are unemployed, and markets are volatile. Yet among all the uncertain news we seem to hear daily, there is something NYSLRS members and retirees can have confidence in: your Retirement System and pension fund are strong and secure.

Since it was established in January 1921, NYSLRS has proven its strength and durability. Over the past century, the Retirement System has weathered the Great Depression of the 1930s, the Dotcom bubble burst of 2001, the Great Recession of 2008-2009 and more than a dozen other economic downturns. Each time, NYSLRS recovered and emerged stronger than before.

pension fund

Investing for the Long Term

The New York State Common Retirement Fund, which holds and invests the Retirement System’s assets, has been impacted by this largely unprecedented crisis, but the Fund remains strong. While weighing the risk and benefit of every investment, the Fund employs a diversified investment strategy that is designed for the long-term, allowing it to take advantage of growth opportunities in good times, which helps it to better navigate through hard times.

NYSLRS entered the current crisis in a position of strength. Independent analysts, such as the Pew Charitable Trusts, have long recognized NYSLRS as one of the best-managed and best-funded public retirement systems in the nation. The strength of the Fund provides stability and enhances its ability to recover from market swings.

In recent months, before the COVID-19 outbreak, the Fund’s professional managers recognized increased volatility in the stock market. The managers made adjustments in the Fund’s investment portfolio in preparation for an expected economic downturn and are actively managing the Fund through these difficult times. The Fund has more than enough assets to pay retiree benefits.

What This Means for You

New York State Comptroller Thomas P. DiNapoli has a fiduciary responsibility to manage the Fund’s assets on behalf of NYSLRS members and retirees. Protecting the Fund is the Comptroller’s number one priority. As a NYSLRS member or retiree, your lifetime retirement benefits are guaranteed by the State constitution, and those benefits cannot be diminished.

NYSLRS continues to be well-positioned to meet both its short-term and long-term obligations. If you are already retired, you will continue to receive your pension payments on schedule. If you are a member, your pension will be there for you when you retire and throughout your retirement years.

We’ve faced similar challenges in the past. We will get through this one.

The Fund – Strength Through Strategy

The New York State Common Retirement Fund (the Fund) holds assets in trust for all NYSLRS members and retirees. As trustee, State Comptroller Thomas P. DiNapoli is accountable for the performance and management of the Fund and ensures that investment policies and practices adhere to the highest levels of ethical conduct and transparency. Comptroller DiNapoli seeks the input of a wide-range of internal and external advisors to determine the best allocation of assets and investment choices for the Fund.

The Fund also relies on an extensive network of outside advisors, consultants and legal counsel to provide the Comptroller with independent advice and oversight of all investment decisions. Outside advisors and internal investment staff are part of the chain of approval that must sign off on all investment decisions before they reach the Comptroller for final approval.

An independent review released in February 2013 found that the Fund is one of the most transparently and ethically managed public pension funds in the country. The review also found that the Fund is well run, invests effectively on behalf of its members and operates with industry-leading openness.

Vicki Fuller is the Chief Investment Officer of the Fund, and as she notes in this video, the Fund has remained strong for the NYSLRS members and retirees who depend on it. The consistent performance of the Fund can be attributed to a long-term investment strategy and asset allocation policy that balances a maximum level of return with an appropriate level of investment risk.

For more detailed information on the Fund, visit the Division of Pension Investment and Cash Management.

For extensive historical data and detailed information about how the Fund is managed, visit the Comprehensive Annual Financial Reports section of our website.

Defined Benefit Plans like NYSLRS Work

Fewer workers today have access to a retirement plan that provides specific benefit payments when they retire. Many workers have had their traditional pension plans replaced by 401K-style plans, which has been discussed in New York. Let’s take a breath and consider why defined benefit plans like the New York State and Local Retirement System (NYSLRS) work.

For more than 90 years, NYSLRS has done what a pension system is supposed to do, provide retirement security for our members. Our pension system is among the best funded and best run in America. With a solid 2012-13 annual return of 10.38 percent, the New York State Common Retirement Fund is now valued at more than $160 billion. And despite the market’s recent volatility, the Fund remains well positioned for the future.

As Comptroller Thomas P. DiNapoli notes in this video, NYSLRS is as strong as it’s ever been and serves as a powerful counterweight to the arguments that public pension systems are unsustainable.