The Jacksonville Police and Fire Pension Fund provides defined benefit pension, disability, and survivor benefits to sworn police officers and firefighters of the City of Jacksonville, Florida. Managing approximately $3 billion in assets, the fund is one of the larger public safety pension systems in the southeastern United States. The fund underwent significant reform in 2015 to address its unfunded liability and improve long-term sustainability.
Investment Strategy
The Jacksonville Police and Fire Pension Fund maintains a diversified investment portfolio across domestic and international equities, fixed income, real estate, and alternative investments. The Board of Trustees sets asset allocation policy with guidance from external investment consultants, targeting returns sufficient to meet long-term pension obligations. The fund’s investment approach balances growth-oriented equity allocations with income-generating fixed income and real asset positions. Following the 2015 pension reform, the fund has maintained a disciplined investment strategy focused on improving its funded status through a combination of increased contributions and diversified investment returns.
Private Markets Approach
The fund allocates approximately 12% of its portfolio to alternative investments, including private equity and real estate. The private equity program includes commitments to buyout and growth equity funds managed by established general partners. The fund has developed its alternatives program to provide return enhancement and portfolio diversification beyond traditional public market investments. The real estate allocation includes investments in commingled funds spanning core and value-add strategies across property types and geographies. The board and its consultants conduct thorough due diligence on prospective alternative investment managers, with emphasis on track record, organizational stability, and alignment of interest. The fund publishes annual reports that detail its investment allocations and performance.
Frequently Asked Questions
What is the Jacksonville Police and Fire Pension Fund?
The Jacksonville Police and Fire Pension Fund provides defined benefit retirement, disability, and survivor benefits to sworn police officers and firefighters of the City of Jacksonville, Florida. The fund manages approximately $3 billion in assets.
How does the Jacksonville Police and Fire fund invest?
The fund maintains a diversified portfolio across equities, fixed income, real estate, and alternative investments. Approximately 12% of assets are allocated to alternatives including private equity and real estate strategies.
How has pension reform affected Jacksonville's police and fire pension?
Jacksonville's 2015 pension reform legislation restructured benefits and increased city contributions to address the fund's unfunded liability. The reforms have improved the fund's long-term sustainability while the investment team continues to pursue diversified return generation.
