Pension Stabilization Trust (PST) |

Keenan's Pension Stabilization Trust


Keenan's Pension Stabilization Trust (PST) solution helps agencies address the rising PERS rates. With PERS pension funds facing major funding issues, lower than expected returns, and the increased longevity of retirees, public agency contributions are projected to increase significantly over the next six years.

Implications for your Agency

  • Potential layoffs
  • Reduced or delayed staff raises
  • Cuts to existing programs

How does the Pension Stabilization Trust help?

  • Invest funds and utilize interest return to buy-down future PERS rate increases
  • Protect and reserve PERS funds for impending increases
  • Funds are invested in one of six different investment portfolios available to choose from.
  • Trust is managed by world-class professionals from Benefit Trust and Morgan Stanley

Why is the Pension Stabilization Trust optimal for California public agencies?

  • Provides an independent, discretionary trustee which contractually delegates fiduciary liability and protects management from responsibility for investments
  • Trust investments are designed with “principal preservation” as the primary focus
  • Funds are easily accessed and available at any time for PERS contributions
  • Pension Stabilization Trust team provides assistance in running investment report meetings in compliance with the Brown Act