The City of Phoenix Employees’ Retirement System (COPERS) provides defined benefit pension and disability benefits to general employees of the City of Phoenix, Arizona. Managing approximately $3 billion in assets, COPERS is governed by a nine-member Board of Trustees and serves the city’s non-safety workforce. Sworn police and fire employees are covered by the separate Arizona Public Safety Personnel Retirement System.
Investment Strategy
COPERS maintains a diversified investment portfolio across domestic and international equities, fixed income, real estate, and alternative investments. The Board of Trustees establishes asset allocation policy based on actuarial analyses and capital market assumptions, with the primary objective of generating returns sufficient to meet long-term benefit obligations. The fund utilizes external investment managers across all asset classes, with oversight from internal staff and external investment consultants. COPERS emphasizes diversification, risk management, and cost-effective implementation in its investment approach. The fund’s investment strategy is designed to navigate varying market environments while maintaining adequate liquidity for benefit payments.
Private Markets Approach
COPERS allocates approximately 10% of its portfolio to alternative investments, including private equity and real estate. The private equity program includes commitments to diversified buyout and growth equity funds managed by established institutional managers. The real estate allocation includes investments in commingled funds spanning core and value-add strategies across property types. Given the fund’s moderate scale, the alternatives program emphasizes a focused set of high-quality manager relationships that provide meaningful private markets exposure. COPERS approaches its private markets program with attention to diversification across vintage years, fee management, and alignment of interest with investment partners. The board and its consultants conduct thorough due diligence on prospective alternative investments.
Frequently Asked Questions
What is the City of Phoenix Employees' Retirement System?
COPERS is a defined benefit pension fund providing retirement and disability benefits to general employees of the City of Phoenix, Arizona. The fund manages approximately $3 billion in assets.
How does COPERS invest its portfolio?
COPERS maintains a diversified portfolio across equities, fixed income, real estate, and alternatives. Approximately 10% of assets are allocated to alternative investments. The nine-member Board of Trustees sets investment policy.
Who is eligible for COPERS?
COPERS covers general (non-safety) employees of the City of Phoenix. Sworn police and fire employees are covered by the Public Safety Personnel Retirement System (PSPRS). Eligible employees include administrative, professional, and operational city staff.
