In this assignment, you will evaluate a state public pension plan’s annual report

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In this assignment, you will evaluate a state public pension plan’s annual report.

Searching for a Public Pension Plan

To search for a state public pension plan’s annual report, visit the web page Pension Plan Data (Links to an external site.).

Search by state to find the name of a state’s public pension plan.

Once you have chosen a state and a plan, click on that plan. (Choose Florida RS)

See the title PLAN DATA: _______ (name of plan) on the first page.

See left navigation Menu Items: Plan Basics; Assets, Benefits, and Participants; Costs; Actuarial Funding; Investments; and Cash Flow.

Click on the link to cash flow.

Below the cash flow charts, there is a section 20XX Financial Report, which contains a link to the latest annual financial report.

Click on the link for the annual financial report. It may take several minutes to load the plan document.

Download the document as a .pdf and easily review the .pdf.

Note: Some states do not provide the annual financial report, but instead, provide an actuarial report. Do not use an actuarial report. Choose another state.

For example:

Search for “Alabama.”

Choose “Alabama Teachers.”

Under Cash Flow, there is a section 2018 Financial Report. Beneath it, there is a link to the Comprehensive Annual Financial Report.

In your post about your chosen public state pension plan, include the following in your answer:

1/ Identify the amount of assets held by the plan, the amount of liabilities of the plan, and the percent funded of the plan.

2/ Identify the amount and percentage of assets invested in fixed income securities and mortgage-backed securities.

3/ Identify the categories and weights of fixed income securities in the portfolio.

4/ Identify the weights in the fixed income security portfolio according to bond ratings.

5/ Identify the duration of the fixed income portfolio.

6/ Describe the investment strategy for fixed income securities identified by the pension plan.

7/ Describe the benchmark used by the pension fund for the fixed income securities, and how the pension fund has performed against this benchmark.

8/ Suggest one change to the fixed income portfolio to enhance the portfolio’s returns, within the guidelines of the stated fixed income portfolio strategy.

9/ Indicate how you think the fixed income portfolio will perform given a rising interest rate environment.