Maryland State Retirement and Pension System exceeds benchmark with 13.19% return in fiscal year 2026

For immediate release:
August 18, 2026

Contact: Benjamin Robb
[email protected]

CORRECTION: A previous version of this press release misstated the investment return in the headline. It is 13.19%.

BALTIMORE – The Board of Trustees of the Maryland State Retirement and Pension System today announced a net investment return of 13.19% for the fiscal year ending June 30, 2026, exceeding the 6.80% actuarial target by 6.39 percentage points and outperforming the policy benchmark by three basis points. The fund has generated excess returns relative to its respective benchmark over the one-, three-, five- and 10-year periods.

Over the past ten years, the fund has produced an annualized net return of 8.25%, outperforming the policy benchmark by 48 basis points annually. The returns of each asset class and the System’s total portfolio are measured against their benchmarks to evaluate the impact of manager performance and tactical asset allocation.

“I am proud of the work of our investment staff and grateful for their commitment to generating value for Maryland’s public servants,” said Dianne Sandoval, who joined the Maryland State Retirement Agency as Chief Investment Officer in January. “I am equally appreciative of the Board’s partnership and the time, judgment and perspective they bring to the stewardship of the System. Strong investment outcomes are ultimately the product of both sound governance and disciplined execution.”

“With another year of strong investment returns, Maryland’s 431,000 working and retired government employees, teachers, police and other public servants covered by the Maryland State Retirement and Pension System can be confident that their retirement benefits are secure and skillfully managed,” said Brooke Lierman, Maryland Comptroller and Vice-Chair of the Board. “The diversified asset allocation established by the Board propelled investment returns that exceeded our targets while also protecting the fund from the market volatility caused by last fiscal year’s economic headwinds, both at home and abroad.”

“We don’t expect to achieve a 13.2% return every year, especially during a period of transition like the one the System experienced in fiscal year 2026,” said Dereck Davis, Maryland State Treasurer and Board Chair. “What’s most important about these returns is that they prove we continue to be mindful investors, fiscally conservative and socially responsible.”

“We also realize that these investment results are more than just numbers on a page,” Trustee Davis added. “Our $82.1 billion investment fund helps provide a dignified retirement for the workers who move Maryland forward, and our target-beating returns help control employer costs for the state and governmental units that participate in the System.”

The Maryland State Retirement Agency is charged with the fiduciary responsibility for properly administering the retirement and pension allowances of more than 177,000 retirees and beneficiaries as well as the future benefits for more than 250,000 active and former members. These groups include state government employees, teachers, law enforcement personnel, legislators, judges, local government employees and firefighters whose employers have elected to participate in the system.

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