State Street Corporation, provider of financial services to institutional investors, today announced that the median return of the State Street Universe (SSU) of total plans rose 8.0% in the third quarter of 2010, following the 4.4% loss in the prior quarter. For the twelve month period ending September 30, 2010, the universe returned 10.1%. The SSU consists of a diverse range of funds custodied at State Street and funds provided by the Independent Consultants Cooperative (ICC). It consists of approximately 1100 total plans of a wide range of plan sponsors and the nearly 20,000 individual funds that comprise each plan. The combined asset value of the portfolios in the SSU exceeds $1.8 trillion as of September 30, 2010.
In the third quarter, master trust funds of greater than $1 billion returned 8.2%, slightly higher than smaller Master Trust Funds, which returned 8.0%. Corporate Plans were up 10.7%, with the highest returns for the year ending September 30, 2010, while Taft Hartley Plans gained 10.2%. For the quarter, plan results ranged from 8.0% (Endowments & Foundations) to 8.7% (Corporate Plans).
Equity Funds rebounded strongly in the third quarter, more than offsetting second quarter losses. International Emerging Market Equity Funds rose 19.1% in the third quarter, while US Equity Funds gained 11.3%. International Development Market Equity rose 16.2% and Global Equity Funds rose 14.5%. For the twelve month period ending September 30, 2010, International Emerging Equity Funds again had the highest returns, rising 20.2%, while International Developed Market Equity Funds had the smallest gains, rising 5.8%. US Equity Funds rose 11.8% and Global Equity Funds rose 9.0%.
Fixed Income Funds performed well over the last 12 months, with both US Fixed Income Funds and Global Fixed Income Funds up 10.2%. In the third quarter, Global Fixed Income Funds gained 7.5% while US Fixed Income Funds rose 3.1%.
D.C.