Defined Benefit Fund U.S. Equity

OPERS seeks to diversify assets by obtaining broad exposure to U.S. publicly traded equity markets. This requires investment in multiple capitalization segments while incorporating various investment styles. Considering that security, sector and market return opportunities occur, the U.S. Equity sub-asset class is structured to also include managers that seek to exploit those opportunities with the expectation that the overall sub-asset class produce risk-adjusted returns in excess of the benchmark, net of fees.

The exposure to U.S. Equities is managed through allocations to index and active styles. Index management is a style of portfolio management that involves constructing a broad-based portfolio designed largely to match the performance and risk of its benchmark. Active management is a style of portfolio management that seeks to maximize excess return by constructing portfolios with compositions that deviate materially from that of their benchmark. Investment staff's decision to allocate across index and active styles is designed, in aggregate, to outperform the U.S. Equity benchmark.