Staying ahead of economic shifts, policy changes, and market movements is crucial for public pension funds, institutional investors, and retirement professionals. This week's developments highlight a mix of economic optimism, policy initiatives, and investment challenges. Below, we break down key stories shaping the landscape, providing The Story and Why It Matters to help you navigate these changes.

Reminder: Register Now for the TEXPERS 2025 Annual Conference Before Special Room Rates Expire!

The Story:

The TEXPERS 2025 Annual Conference is fast approaching, scheduled for March 30 to April 2, 2025, at the Renaissance Austin Hotel in Austin, Texas. This premier event offers an invaluable opportunity for trustees, administrators, and stakeholders of Texas public employee retirement systems to engage in insightful sessions, network with peers, and stay abreast of the latest industry trends.

To enhance your conference experience, TEXPERS has secured a block of rooms at a discounted rate for attendees. However, these special room rates are only available until March 7, 2025, or until the room block is fully booked—whichever comes first. Given the high demand, it's crucial to register and reserve your accommodations promptly to take advantage of these rates and ensure your stay at the conference venue.

Register for the conference and book your room here:TEXPERS 2025 Annual Conference

Why It Matters:

Securing your spot at the TEXPERS 2025 Annual Conference grants you access to knowledge and networking opportunities. It ensures you benefit from the convenience and cost savings of staying on-site. By registering and booking your accommodations before the March 7 deadline, you can focus on maximizing your conference experience without the concern of last-minute lodging challenges. Don't miss out on this essential event—act now to confirm your participation and lodging.

Target Faces Shareholder Lawsuit Over DEI Disclosures

The Story:

Retail giant Target is facing a lawsuit from a Florida pension fund alleging the company misled investors regarding the financial risks associated with its diversity, equity, and inclusion (DEI) initiatives. The complaint, filed in federal court, claims Target overstated the benefits of its DEI policies while downplaying the potential for consumer backlash, which the plaintiffs argue negatively impacted the company's stock performance.

Read the full story here:Reuters

Why It Matters:

Public pension funds and institutional investors are increasingly scrutinizing corporate DEI policies, particularly due to politically charged debates around ESG (Environmental, Social, and Governance) strategies. This lawsuit underscores the importance of assessing corporate governance disclosures and the potential legal and financial risks associated with ESG-related initiatives for Texas public employee retirement systems. As regulatory and legal challenges surrounding DEI continue to emerge, pension fund trustees and administrators must carefully evaluate investment decisions and risk disclosures to protect beneficiaries.

Texas Tribune Festival 2025 Announced

The Story:

The Texas Tribune has announced the dates for its annual Texas Tribune Festival, a premier policy and political event that brings together thought leaders, policymakers, and industry experts to discuss critical issues facing Texas and the nation. The event, scheduled for September 2025 in Austin, will feature panels on governance, economics, and public policy topics.

Read the full announcement here:Texas Tribune

Why It Matters:

For Texas public pension trustees and administrators, the Texas Tribune Festival offers a valuable opportunity to engage with policymakers, economists, and financial experts on key issues affecting public retirement systems. Discussions on state budget priorities, economic policy, and workforce trends can provide critical insights into pension fund sustainability and investment strategies. Attending or following the event's coverage can help stakeholders stay informed on legislative and regulatory developments that may impact public pensions.

Texas Pension Review Board Actuarial Committee Meeting Scheduled for February 27

The Story:

The Texas Pension Review Board (PRB) Actuarial Committee will meet on Thursday, February 27, 2025, at 2:00 PM in Austin at the William P. Clements Building, Fourth Floor, Room 402. The meeting will be accessible both in person and virtually via Zoom. Key agenda items include updates from the Nacogdoches County Hospital District Retirement Plan and the Beaumont Firemen's Relief & Retirement Fund and discussions on future meetings and related matters. The full agenda is available here.

Why It Matters:

This meeting is particularly relevant for Texas pension stakeholders as it provides an opportunity to gain insights into the actuarial health of public pension plans across the state. Discussions on pension funding, financial sustainability, and investment strategies directly impact the long-term viability of public retirement systems. Pension trustees, administrators, and stakeholders should monitor the meeting's discussions and any potential policy recommendations that may emerge.

Texas Economic Outlook 2025: Slower but Resilient Growth Expected

The Story:

The Dallas Federal Reserve's 2025 Texas Economic Outlook report projects continued economic growth in Texas, albeit at a slightly below-trend pace. Key findings include:

• Slower Job Growth: Texas job growth slowed to 1.7% in 2024, falling short of projections due to higher interest rates, declining oil and gas prices, and election uncertainty.
• Sectoral Growth Trends: The energy, financial services, and construction sectors saw the fastest job growth in 2024, while the technology sector stabilized after rapid expansion.
• Regional Economic Performance:Fort Worth and Houston led job growth among large metros, while smaller metros like Amarillo, Beaumont, and College Station outpaced state averages.
• Housing and Labor Market Trends: Texas home sales remained flat while apartment rents declined in most major metros. Job openings per unemployed worker fell to one-to-one, signaling a cooling labor market.
• Energy and Trade: Despite a flat oil rig count, crude oil production slightly increased. However, a strong U.S. dollar and lower demand constrained Texas export growth.