Sherry Reser, spokeswoman for the California State Teachers' Retirement System, sent an e-mail our way in response to our Sunday news story, "CalPERS, CalSTRS award big bonuses despite loses." With her permission, we're posting the section of Reser's e-mail that discusses points about CalSTRS' she wished would have made it into the article:
- We operate at a high degree of transparency. The Teachers' Retirement Board has a compensation committee, as you know, and provides full disclosure of incentive calculations and public discussion of compensation issues.
- Investment decisions added value to the teachers fund. CalSTRS paid out less than $3 million last year in incentives, yet had about $2 billion added to the portfolio over the last 3 years based on the staff decisions.
- This is a gripe about the article: Speaking of three years above, that's the rolling average considered in the incentives paid last year. That period included a portfolio return of more than 23%. Jon, this is an important fact and I really wish you had included it in the piece. The incentives were not just for FY 07-08 returns.