Committee Conducts Fourth Quarter Meeting to Review Trust Fund Performance and Conduct Other Trust Fund Business
WASHINGTON, D.C. (November 17, 2022)– The Trust Fund Committee of the Trust Fund for the People of the Federated States of Micronesia (the Fund) conducted its Fiscal Year 2022 (FY22) fourth quarter meeting on October 26 (EDT) and 27 (Pohnpei) via videoconference where the Trust Fund Committee Members reviewed the Fund’s investment performance, approved the Fiscal Year 2023 investment and administrative budget, and conducted other Trust Fund Committee business. The Members also reviewed their fiduciary responsibilities with the Fund’s legal counsel.
Continuing a period of market volatility and weak economic performance, for September, the last completed month of the performance review, the Fund decreased by 6.0%, net of fees, (benchmark -6.4%) resulting in a net asset value of $911,236,499. For FY22 ending September 30th, the Fund was down 11.5%, net of fees, also outperforming a benchmark of -12.0%. The Trust Fund Committee Members recognized that on October 4th, consistent with the Compact of Free Association, as Amended, the U.S. contribution in the amount of $39,504,160 was received by the Trust Fund and invested per the Investment Policy Statement.
The next quarterly meeting of the Fund will take place in December for the first quarter of FY2023.
As stated in Article III of the Agreement Between the Government of the United States of America and the Government of the Federated States of Micronesia Implementing Section 215 and Section 216 of the Compact, as Amended, regarding a Trust Fund, the purpose of the Fund is to contribute to the economic advancement and long-term budgetary self-reliance of the Federated States of Micronesia by providing an annual source of revenue after Fiscal Year 2023. For more information on the Fund, visit the official website at https://fsmcfatf.com/.
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