Buoyed by the sizzling stock market in recent years, the Alaska Permanent Fund reached a milestone on Thursday when it closed above $50 billion for the first time.
"Over the last 37 years, the fund has received $17 billion in deposits and has paid out $20 billion in dividends. And despite paying out more than it has taken in, the fund has now reached a value of $50 billion. Overall, this has been a very successful program by any measure," said Alaska Permanent Fund Corporation Chairman Bill Moran. Alaska residents receive an annual Permanent Fund dividend that, over the years, has ranged from $331 to more than $2,069, depending on the performance of the fund's investments. Last year's dividend was $900.
About half the fund is invested in stocks, and 2013 was its best year since 1995, said CEO Michael Burns. "While all of our asset classes have shown positive returns lately, the performance in our largest allocation helped the Fund grow by more than $5 billion over the last year, and pushed the total value toward this new high-water mark," Burns said.
At close of business on Thursday, the fund contained $50.04 billion.
A statement from the corporation said: "The Alaska Permanent Fund was created in 1976 by a vote of the people, and received its first royalty deposit of $734,000 in early 1977. The fund is invested in a broad range of assets, including stocks, bonds, real estate, private equity and infrastructure."
Contact Alex DeMarban at alex(at)alaskadispatch.com.