Stock market rallies grow Alaska Permanent Fund by $3 billion in first quarter
OCT 28 - The Alaska Permanent Fund produced a return of 10.7% for the first quarter of fiscal year 2010, and ended September 30 with a value of $33.3 billion, an increase of $3.4 billion from the beginning of the period.
The stock market rally that began in March carried through the fall, leading to a 19% return in the Dow Jones Global Index and the best quarter since 1998 for the U.S. market. The performance of the Fund's stock portfolios was the primary contributor to the $3.4 billion increase in value for the quarter. The Fund's U.S., non-U.S. and global portfolios returned 16.2%, 18.8% and 17.7% respectively.
"While the global economy may still have some issues to work through, we're hopeful that the recent performance in the stock markets is a sign that the worst of the recession is over," said Michael Burns, Chief Executive Officer.
Bond markets had a positive quarter as well, and the Fund's bonds had solid performance, returning 5.3% for the U.S. and 3.2% for the non-U.S. portfolio. Absolute return also provided a 5.6% return.
The Fund earned $119 million in statutory net income for the period, which is used to calculate the annual dividend amount.