The Alaska Permanent Fund’s investments gained 12.57 percent in the fiscal year 2017, which ended June 30, with a record-breaking total value of $59.8 billion.
The fund, in its 41st year, had a principal on June 30 of $47 billion, while the Earnings Reserve Account ended with $12.8 billion.
After the fiscal year ended, the fund has continued its record climb and yesterday reached $60,616,300,000. For comparison, two years ago the fund hit $53 billion.
On a long-term trend of an 8 percent return, this could put the value of the fund at $62.2 billion by December 31, 2017.
Board of Trustees Chair Bill Moran said the “high mark is a testament to the Alaskans who had the foresight to create the Fund, the leaders of yesterday and today who have maintained the integrity of the Fund and the dedicated professionals of the Alaska Permanent Fund Corporation who have attentively invested the Fund.”
APFC’s CEO Angela Rodell said, “The success of the Fund has been built upon decades of investment experience and the firm commitment of the Board of Trustees to establish sound investment, governance and transparency practices. Due to these efforts, not only has the Fund reached an all-time high value it has also achieved world-wide recognition as a model for converting a non-renewable natural resource into a renewable financial resource.”
The Constitutional Budget Reserve Fund is another matter. At the end of July, it contained $3.92 billion, down from a high of $10.1 billion in 2015. Gov. Bill Walker’s Administration in 2015 predicted the Constitutional Budget Reserve would have just $357 million by 2016, but in 2017 it contains several times that amount.