NEW YORK, May 20, 2015 /PRNewswire/ -- The median
return of the BNY Mellon U.S. Master Trust Universe, a fund-level
tracking service, was 2.4% for the first quarter of 2015, marking
the second straight quarter of positive performance. Non-U.S.
equities (+4.1%) and real estate (+3.2%) contributed most to the
positive Q1 results. The Master Trust Universe posted a one-year
return of 7.2%, underperforming its five-year average of
9.4%.
With a market value of more than $2.5
trillion and an average plan size of $4.2 billion, the BNY Mellon U.S. Master Trust
Universe is a fund-level tracking service that can be used to make
peer comparisons of both performance and asset allocation results.
The Universe consists of 588 corporate, foundation, endowment,
public, Taft-Hartley, and health care plans.
"Benefitting from an overweighting to U.S. fixed income,
corporate plans outperformed all other plan-types with a +2.7%
return in Q1, outpacing them by 32 basis points on average," said
John Houser, senior consultant for
BNY Mellon's Global Risk Solutions group. "Overall, however, we saw
a drop in the median plan allocation to U.S. fixed income from 26%
to 23%, while alternatives inched up from 24% to 25%. The median
allocation to the 'Alternatives/Other' asset category is up from
18% five years ago."
Q1 Highlights
- 98% of plans in the BNY Mellon Master Trust universe returned
positive results during the quarter
- 96% of plans matched or outperformed the custom policy return
for Q1
- Corporate plans recorded the highest median return (+2.70%),
followed by Public plans (+2.32%). The difference between the
highest performing group (Corporates) and lowest performing group
(Taft Hartley) was a significant 0.74 percentage points.
- U.S. equities posted a quarterly median return of +1.97%,
versus the Russell 3000 Index return of +1.80%. Non-U.S. equities
saw a median return of +4.09%, slightly ahead the Russell Developed
ex U.S. Large Cap Index result of +4.07%. U.S. fixed income had a
median return of +1.86%, versus the Barclays Capital U.S. Aggregate
Bond Index return of +1.61%. Non-U.S. fixed income had a median
return of -1.32%, versus the Citigroup Non-U.S. World Government
Bond Index return of -4.36%. Real estate had a median return of
+3.18%, versus the NCREIF Property Index result of +3.57%.
The average asset allocation in the BNY Mellon U.S. Master Trust
Universe for the first quarter was: U.S. equity 27%, U.S. fixed
income 23%, non-U.S. equity 18%, non-U.S. fixed income 1%, real
estate 4%, cash 2%, and alternatives/other 25%.
BNY Mellon's Asset Servicing business supports institutional
investors in today's fast-evolving markets, safeguarding assets and
enhancing the management and administration of client investments
through services that process, monitor and measure data from around
the world. We leverage our global footprint and local expertise to
deliver insight and solutions across every stage of the investment
lifecycle.
BNY Mellon is a global investments company dedicated to helping
its clients manage and service their financial assets throughout
the investment lifecycle. Whether providing financial services for
institutions, corporations or individual investors, BNY Mellon
delivers informed investment management and investment services in
35 countries and more than 100 markets. As of March 31, 2015, BNY Mellon had $28.5 trillion in assets under custody and/or
administration, and $1.7 trillion in
assets under management. BNY Mellon can act as a single point of
contact for clients looking to create, trade, hold, manage,
service, distribute or restructure investments. BNY Mellon is the
corporate brand of The Bank of New York Mellon Corporation (NYSE:
BK). Learn more at bnymellon.com or follow us on Twitter
@BNYMellon.
BNY Mellon U.S.
Master Trust Universe Median Plan Returns*
|
Period Ending
March 31, 2015
|
|
Universe
|
Number
of Participants
|
1Q
2015
|
One-
Year
|
Five-
Years
|
Ten-
Years
|
Master Trust Total
Fund
|
588
|
2.38
|
7.18
|
9.40
|
7.06
|
Corporate Plans
|
215
|
2.70
|
8.55
|
9.95
|
7.26
|
Foundations
|
67
|
2.27
|
5.95
|
8.75
|
6.92
|
Endowments
|
96
|
2.23
|
6.61
|
9.30
|
7.09
|
Public Plans
|
102
|
2.32
|
6.88
|
9.68
|
7.07
|
Taft-Hartley Plans
|
34
|
1.96
|
6.74
|
9.24
|
6.54
|
Health Care Plans
|
14
|
2.08
|
5.88
|
8.04
|
NA
|
Universe Custom
Composite Benchmark
|
2.03
|
8.44
|
9.98
|
7.07
|
|
*All returns are
posted gross of fee results.
|
BNY Mellon U.S.
Master Trust Universe Median Allocations by Asset
Class
|
Period Ending
March 31, 2015
|
|
Asset
Class
|
Q1 2015
|
Q4 2014
|
One
Year
Ago
|
Three
Years
Ago
|
Five
Years
Ago
|
U.S.
equity
|
27%
|
26%
|
26%
|
29%
|
34%
|
U.S. fixed
income
|
23%
|
26%
|
26%
|
27%
|
28%
|
Non-U.S.
equity
|
18%
|
17%
|
17%
|
16%
|
15%
|
Non-U.S. fixed
income
|
1%
|
2%
|
2%
|
2%
|
2%
|
Real
estate
|
4%
|
4%
|
4%
|
2%
|
2%
|
Cash
|
2%
|
1%
|
1%
|
2%
|
1%
|
Alternatives/Other
|
25%
|
24%
|
24%
|
22%
|
18%
|
Russell 3000 Index and Russell Developed ex
US Large Cap Index: Russell Investment Group ("Russell")
is the source and owner of the Russell Index data contained or
reflected in this material and all trademarks and copyrights
related thereto. The Russell Index data may contain
confidential information and unauthorized use, disclosure, copying,
dissemination or redistribution is strictly prohibited. Barclays
Capital U.S. Aggregate Bond Index: © Barclays Bank PLC
2015. This data is provided by Barclays Bank PLC all rights
are reserved. Citigroup Non-US World Government Bond Index:
© Citigroup Global Markets Inc., 2015. All rights reserved.
*****
Information containing any historical information, data or
analysis should not be taken as an indication or guarantee of any
future performance, analysis, forecast or prediction. Past
performance does not guarantee future results. The Information
should not be relied on and is not a substitute for the skill,
judgment and experience of the user, its management, employees,
advisors and/or clients when making investment and other business
decisions. None of the Information constitutes an offer to sell (or
a solicitation of an offer to buy), any security, financial product
or other investment vehicle or any trading strategy.
Contact:
Joseph F.
Ailinger Jr.
+1
617-722-7571
joe.ailinger@bnymellon.com
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visit:http://www.prnewswire.com/news-releases/non-us-equities-and-real-estate-drive-positive-returns-for-us-master-trust-universe-in-q1-says-bny-mellon-300085978.html
SOURCE BNY Mellon