Prudent Investment Management
Investment Management for Alaska
Established in 1980, APFC is authorized by statute to manage and invest the assets of the Permanent Fund and other funds designated by law, in accordance with AS 37.13.010 — 37.13.190. The Corporation invests these assets under the same investment allocation and fiduciary framework as the Permanent Fund, allowing all participating funds to benefit from APFC’s investment scale and expertise. Financial statements, including earnings information, are maintained separately and allocated on a pro-rata basis to ensure each fund receives its proportionate share of returns.
Alaska's Largest Financial Resource
The Alaska Permanent Fund
- Principal: Constitution and AS 37.13.010
- Earnings Reserve Account: AS 37.13.145 (a)
- Amerada Hess Settlement: AS 37.13.145 (d)
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AK Capital Income Fund: AS 37.05.565
Settlement Assets Under Management
Amerada Hess Settlement
During the fiscal years 1990 through 1999, the Fund received dedicated state revenues from a North Slope royalty case: State v. Amerada Hess, et al., 1JU-77-847 Civ. (Superior Court, First Judicial District).
The original settlement principal of $424.4 million is included in the Fund’s principal and invested under the same asset allocation. The Amerada Hess principal is not protected by inflation proofing under AS 37.13.145(c). All statutory earnings from the settlement are deposited annually into the Alaska Capital Income Fund per AS 37.13.145(d). These funds may be appropriated by the Legislature for any public purpose, such as state facilities maintenance or to cover annual debt service on bonds authorized by state law.
Trust Assets Under Management
Alaska Mental Health Trust
APFC was entrusted with the investment management of Alaska Mental Health Trust's financial assets in 1994.
As provided in AS 37.13.300 APFC is responsible for the investment management of Trust assets, providing quarterly and annual reports, and updates to the Alaska Mental Health Trust Authority’s Board of Trustees on long-term investment policy and asset allocation strategies. The Alaska Mental Health Trust Authority, in turn, is responsible for providing leadership in advocating, planning, implementing, and funding services and programs for Trust beneficiaries.
Endowment Assets Under Management
Power Cost Equalization Endowment Fund
APFC was entrusted with the investment management of the Power Cost Equalization Endowment (PCE) Fund in 2023.
As provided in AS 37.13.310, APFC manages the PCE Fund under the same investment objectives and asset allocation framework as the Alaska Permanent Fund and provides quarterly and annual financial reporting. The PCE Endowment is administered by the Alaska Energy Authority and serves as a long-term, stable funding source for the Power Cost Equalization program, which helps maintain more affordable electric utility costs in high-cost service areas across the state.
Former State Investments
Previously Managed Funds
Since its establishment as a prudent investment manager, APFC has carried the fiduciary responsibility of managing several funds on behalf of the people of Alaska.
Alaska Science and Technology Endowment Fund (1989–2003)
International Trade and Business Endowment Fund (1998–2003)