The City of Milwaukee Pension Fund had a return of 3.5%, net of fees, in the first quarter of 2021. This return outperformed the Fund’s blended benchmark by 0.4%. Accelerating COVID-19 vaccine distribution helped create confidence in a re-opening U.S. economy, with GDP growth coming in at an annualized rate of 6.4%. This caused a continued rally in risk assets, while interest rates rose as well. The first quarter return for the Fund’s public equity allocation was 7.8%, net of fees, while the Fund’s absolute return asset class was up 1.7%, net of fees. Rising interest rates caused bond prices to fall, leading to a return of -2.7% for the Fund’s fixed income allocation. Real estate was up 2.6%, net of fees, in the fourth quarter of 2020, which is the most recent quarterly data available. The market value of the Fund on March 31, 2021 totaled approximately $5.69 billion.