[t4texas]

In 2014 and 2015 the fund lost $370 million on investing activities with a loss of $238 million in 2015 alone. Benefits paid to members for those two years totaled $533 million. The fund hired its first Chief Investment Officer in mid 2015. That individual left after one year and the position remains vacant.

At this rate the future looks bleak. It reminds me of what former Texas Agriculture Commissioner, Jim Hightower once said about family farms: It’s still possible to make a small fortune in family farming provided you start out with a large fortune.

[texas booster]

Many of the investments were to cronies and union backed projects. These losses accelerated a slowly growing problem.

Pension funds should never be run for the profit of those that control them.