TEACHERS RETIREMENT SYSTEM OF THE STATE OF KENTUCKY

The Teachers Retirement System of the State of Kentucky is a pension plan sponsor based out of Frankfort, Kentucky. The system was established in 1938 through a state law, although it would not become officially operational until July of 1940. The Teachers Retirement System of the State of Kentucky, also known as Kentucky Teachers’ Retirement System or simply KTRS for short, is an actuarial reserve joint-contributory system, placing the various contributions of its members, employers, and investment earnings in reserve to pay for the System’s annuity obligations. The KTRS is administrated by a Board of Trustees of nine members which appoints an executive who is responsible for upholding its established policies. The system is mandatory for all members in eligible agencies that “require either certification or graduation from a four year college or university as a condition of employment” or those persons who provide part time or substitute teaching services. Agencies that can participate in the system include various public schools, regional educational cooperatives, various Kentucky state universities, the School for the Deaf, the School for the Blind, the Workforce Development Cabinet, the Kentucky Community and Technical College System, and the Department of Education, among other agencies specified by law. The KTRS currently has over 75,000 active members and provides for over 45,000 annuitants. The system has a current market value of over $17.8 billion, allocated with $11.3 billion in equities, $3.3 billion in fixed income, over $750 million in real estate, and $700 million in alternative investments, among others to a lesser degree. KTRS invests most heavily in the information technology sector, which makes up a fifth of its asset allocations, and also invests in the health care, finance, consumer discretionary, industrials, consumer staples, and energy sectors, among others to a lesser degree, in order of decreasing amount allocated.