MISSION:
To professionally manage the South Dakota Retirement System and South Dakota Cement Plant Retirement Fund portfolios in order to obtain long-term maximum total returns consistent with prudent risk; to professionally manage the state's cash flow fund in order to obtain long-term maximum total returns consistent with the liquidity needs of the fund, the legal list and prudent risk; to professionally manage the investment portfolio of the School and Public Lands Fund to obtain the highest risk adjusted return over the long term to offset inflation and provide income on a yearly basis to South Dakota's school districts; to professionally manage the Dakota Cement Trust in a balanced manner, with emphasis on providing the minimum $12 million per year distribution to the general fund, while attempting to build the principal of the fund and, therefore, potential additional distributions from the fund over the long term; to professionally manage the Health Care Trust Fund and the Education Enhancement Trust Fund to obtain a rate of return within a risk framework established by the South Dakota Investment Council with the long-term goal to provide a 4% annual distribution to the general fund and to attempt to grow the funds over time; to oversee the Higher Education Savings Plan per SDCL 13-63-1 to 13-63-31 by establishing the program and monitoring the selected program manager, Allianz Global Investors Distributors LLC; and, to comply with the requirements of SDCL 4-5-12 to 4-5-39, "Investment of State Funds Law".

	ACTUAL FY 2004	ACTUAL FY 2005	BUDGETED FY 2006	REQUESTED FY 2007	GOVERNOR'S RECOMMENDED FY 2007	RECOMMENDED INC/(DEC) FY 2007
FUNDING SOURCE:
General Funds	$0	$0	$0	$0	$0	$0
Federal Funds	0	0	0	0	0	0
Other Funds	4,187,443	4,062,664	5,974,869	6,520,633	6,532,980	558,111
Total	$4,187,443	$4,062,664	$5,974,869	$6,520,633	$6,532,980	$558,111
EXPENDITURE DETAIL:
Personal Services	$2,990,679	$3,006,655	$4,548,293	$5,060,703	$5,073,050	$524,757
Operating Expenses	1,196,763	1,056,009	1,426,576	1,459,930	1,459,930	33,354
Total	$4,187,443	$4,062,664	$5,974,869	$6,520,633	$6,532,980	$558,111
Staffing Level FTE:	23.2	24.2	26.0	28.0	28.0	2.0

	ACTUAL FY 2004	ACTUAL FY 2005	ESTIMATED FY 2006	ESTIMATED FY 2007
REVENUES:
Investment Management Fees:	$0	$0	$0	$0
Retirement System (SDRS)	3,303,537	3,297,868	3,363,004	5,013,210
Cement Plant	22,036	23,023	22,371	32,553
Cash Flow Fund (CFF)	504,868	492,496	476,844	709,662
School and Public Lands (S&PL)	103,140	92,166	89,320	136,724
Dakota Cement Trust (DCT)	174,912	155,733	147,845	221,363
Education Enhancement Trust (EET)	208,503	225,482	212,404	319,022
Health Care Trust (HCT)	57,619	55,039	52,213	78,128
Total	$4,374,615	$4,341,807	$4,364,001	$6,510,662
PERFORMANCE INDICATORS:
SDRS Year-End Assets (Millions)	$5,486	$6,147
SDRS Investment Income (Millions)	$786	$727
SDRS Total Fund Return	16.6%	13.3%
SDRS Capital Market Benchmark	15.5%	9.6%
SDRS Russell/Mellon Corp Universe	16.9%	10.2%
CFF Average Amount Invested (Millions)	$807.3	$821.7
CFF Investment Income (Millions)	$23.4	$22.1
CFF Average Yield / Benchmark Yield	2.93%/0.958%	2.88%/2.08%
S&PL Yr-End Assets/Invest Income (Millions)	$146.7/$10.0	$157.8/$12.1
S&PL Total Fund Return/Benchmark Return	7.1%/8.8%	8.2%/8.1%
DCT Yr-End Assets/Invest Income (Millions)	$240.7/$18.5	$254.4/$26.6
DCT Total Fund Return/Benchmark Return	8.0%/8.7%	11.1%/11.4%
EET Yr-End Assets/Invest Income (Millions)	$361.8/$22.4	$378.7/$31.8
EET Total Fund Return/Benchmark Return	6.7%/9.0%	9.2%/10.2%
HCT Yr-End Assets/Invest Income (Millions)	$88.9/$6.1	$93.3/$7.7
HCT Total Fund Return/Benchmark Return	7.4%/9.0%	9.1%/10.5%

generated 11/29/05 12:55:04 PM