TRS Reports Fifth Consecutive Year of Funded Status Improvement

For immediate release

Springfield, IL - The Teachers' Retirement System of the State of Illinois (TRS) reported a notable increase in its funded status for the fiscal year ending June 30, 2025, marking the fifth consecutive year of improvement. The funded ratio, calculated using the actuarial value of assets, has risen to 47.8 percent, up from 45.8 percent the previous year. The update was presented at the October 23-24 meeting of the TRS Board of Trustees.

This two-percentage-point increase reflects a combination of strong investment returns and consistent funding contributions from both the State of Illinois and participating employers. The improvement is a positive indicator of TRS's financial health and stability, underscoring the System's ongoing progress toward securing the retirement benefits of more than 456,000 members.

Strong investment performance, driven by a diversified portfolio and strategic asset allocation, contributed significantly to this year's results. While the System's funded ratio remains below desired levels, the TRS Board of Trustees continues to employ a conservative investment strategy designed to mitigate potential declines should market conditions worsen. The portfolio emphasizes liquidity and downside protection, balancing growth opportunities with the long-term security of member assets.

Board Recognizes Trustee David E. Miller for Six Years of Distinguished Service

The TRS Board of Trustees also recognized Dr. David E. Miller for his dedicated service from 2019 through 2025. During his tenure, Dr. Miller served as Chair of the Investment Committee, where his leadership, strategic insight, and commitment to fiduciary excellence strengthened the System's investment oversight and performance.

Dr. Miller was an advocate for inclusion in the investment industry, championing initiatives that expanded opportunities for emerging managers. His legislative experience and commitment to public service enriched the Board's understanding of policy and governance, leaving a lasting impact on the System and the members it serves.

The TRS Board of Trustees met at its regularly scheduled October meeting and discussed the following investment actions within the TRS portfolio:

Within the System's $13.3 billion Private Equity Portfolio:

• The commitment of $65 million to NGP Royalty Partners III, L.P. NGP currently manages $135.5 million in TRS assets.

Within the $19.8 billion Income Portfolio:

• The commitment of $100 million to CapitalSpring Investment Partners VII, L.P. CapitalSpring currently manages $68.1 million in TRS assets.

• The commitment of $200 million to LCM Partners COPS V (USD), SLP. LCM currently manages $238.8 million in TRS assets as a diverse manager.

Within the $4.1 billion Diversifying Strategies Portfolio:

• The commitment of $250 million to Capstone Drummer Fund, L.P. This is the only active commitment made to Capstone.

About Teachers' Retirement System of the State of Illinois

The Teachers' Retirement System of the State of Illinois is the 38th largest pension system in the United States, and provides retirement, disability and survivor benefits to teachers, administrators and other public-school personnel employed outside of Chicago. The System serves over 456,000 members and had assets of $79 billion as of August 31, 2025.