March 2026 Executive Update

March 20, 2026

Dear Employers,

Our Board of Trustees held its annual economic and financial education session, bringing together our investment managers and our actuary for an in-depth review of market conditions and fund performance. The session provided valuable information on our investment strategy and future outlooks.

As of December 31, 2025, PMRS total assets were $3.96 billion, with the portfolio delivering an investment gain of $493.5 million in fiscal year 2025. While markets remain volatile, our disciplined approach of diversification and derisking, our portfolio is positioned to navigate any uncertainty with confidence. PMRS continues to rank among the top five percent of fully funded pension plans of comparable sizes. Our plans remain highly competitive through our low-cost administrative fees.

PMRS' commitment to financial integrity continues to earn national recognition. For the second consecutive year, we received the Certificate of Achievement for Excellence in Financial Reporting by the Government Finance Officers Association (GFOA) for our 2024 Annual Comprehensive Financial Report (ACFR). This award demonstrates one of the highest honors in public sector financial reporting.

We continue to focus on modernizing our system. PMRS is improving our user experience and applying the relevant accessibility standards to ensure our site is available to all users. This includes website updates and providing accessible forms and documents for members who rely on assistive technologies.

Our building renovations are nearing completion. The newly expanded first floor will feature a welcome reception area and dedicated member meeting rooms. We anticipate reopening in late spring or early summer; we will keep you updated as we get closer to the date.

We remain committed to our pension promise, ensuring disciplined financial management for our members who depend on us for a secure retirement. Thank you for your continued support.

Sincerely,

Timothy A. Reese

Chief Executive Officer

Pennsylvania Municipal Retirement System