The Fund's Largest Driver of Returns
Public Equities
The Public Equities portfolio is the Alaska Permanent Fund's largest and most liquid asset class and the most significant driver of growth for the Fund. Given its size and significance, this portfolio's performance significantly shapes the Fund's overall performance. The Public Equities portfolio includes U.S. and international stocks traded on public markets, like the New York Stock Exchange (comprised of U.S., international, and global stocks). The portfolio is actively structured to perform well in a variety of market environments with strategic asset allocation, external manager selection, and internal management of equities.
At a Glance
Key Portfolio Figures
$28.4B
As of June 30, 2025
75 Countries
Represented In Stock Holdings
32%
FY26 Target Allocation
Public Equities Objectives
Performance
The performance of the total public equity portfolio over a market cycle shall be measured against the following objectives:
- Total returns commensurate with the level of total equity risk taken in the portfolio so as to fulfill the role of public equities in the Fund’s asset allocation policy; and
- Risk-adjusted returns measured using standard industry metrics such as the Sharpe ratio or information ratio that are enhanced relative to the total public equity portfolio’s assigned benchmark.
- Total returns relative to the total returns of the assigned benchmark.
Performance reports for the portfolio can be found in the monthly performance reports and in board meeting packets.
Strategy & Focus Area
Public Equities Mandate
APFC Public Equities allocation decisions are both strategic (long-term) and tactical (intermediate-term) and are based on long-term expected returns, valuation, fundamentals, and macroeconomic trends. Asset allocation decisions are made across market segments such as: Geographic - domestic vs. international; Sectors - cyclical vs. defensive; Size - large cap vs. small cap; and Style - value vs. growth.
APFC implements asset allocation decisions predominantly through external fund managers across active, quasi-passive strategies, and passive strategies. A small part of the allocation is also managed internally through exchange-traded funds (ETFs).