Skip to comments.(NJ) State: Pension fund took $23B hit
Posted on 11/23/2008 5:07:19 PM PST by Coleus
New Jersey's pension fund has lost more than $23 billion this year, dropping to its lowest level since 2003 as a collapsing financial market battered its investments, a state report showed yesterday. The latest losses -- nearly $9 billion in October, and another $3 billion so far this month -- mean the fund is now worth $57.8 billion, or less than half the $118 billion in benefits it is due to pay out over time, state reports show. "I don't think any of us in the division have ever seen anything like it," said Bill Clark, director of the state's Division of Investments and the chief steward of the fund. "I'm not sure anyone alive has seen anything like it."
Sen. Bill Baroni (R-Mercer), whose district includes many state workers covered by the fund, called the drop in value "a historic breakdown," and demanded a legislative review and criminal investigation of the state's investment policies. "We understand this has been for everyone across the country," he said. "But for the people I represent, this kind of news shocks the system and shocks the conscience."
The state's pension fund includes accounts covering 700,000 working and retired state, county and municipal employees and teachers. The losses pose no immediate threat to retirees, whose annual payouts total approximately $5.2 billion. While Clark delivered his report to the State Investment Council in Trenton, Gov. Jon Corzine was in Atlantic City promising a convention of local government officials that he would let them postpone about a half-billion in payments they are scheduled to make to the pension funds in April.
(Excerpt) Read more at nj.com ...
little change here and little change there.... now we are talking some money.
Wonder how that powerhouse CalPERS is doing?
Perhaps they should take it up with their Goldmann Sachs Governor.