Reso 2026-070 2026 Q1 OPEB Trust and Pension Trust Investment Report

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QUARTERLY MARKET SUMMARY For the Quarter Ended March 31, 2026 Multi-Asset Class Management ALTERNATIVES • Real estate investment trusts (REITs), as measured by the MSCI U.S. REITs Index, returned 4.8% in the first quarter of 2026. Private real estate, as measured by the NCREIF Property Index, gained 1.2% in the third quarter of 2025, marking the fourth consecutive quarter of positive total returns, driven primarily by income, with modest property appreciation also contributing. Senior Housing was the strongest-performing property type, returning 2.9%, while Office posted a modest gain of 0.9%. • Listed infrastructure, as represented by the MSCI World Core Infrastructure Index, returned 7.8% in the first quarter of 2026. According to PitchBook, private infrastructure funds posted returns of 2.6% in the third quarter of 2025, generating an annualized return of 10.9% over the five years ended Q3 2025. By the end of the fourth quarter of 2025, 60 private infrastructure funds had raised $193.8 billion, with the majority of the capital flowing to larger-scale strategies focused on long-term demand themes, including artificial intelligence. • By the end of 2025, 200 private debt funds had raised $234.1 billion, with capital increasingly concentrated among fewer, larger funds. Private debt dry powder remained elevated at $618.2 billion as of June 30, 2025. According to Cliffwater, while performance remains positive, returns have moderated, with private debt funds posting a return of 2.5% in the third quarter of 2025. The asset class has generated an annualized return of 10.5% over the past five years. • Private equity fundraising slowed further in 2025, with 578 private equity funds having raised $414.2 billion, marking the weakest annual fundraising environment since 2020. Despite this slowdown, global private equity dry powder — which accounts for the bulk of private capital dry powder — remains elevated at $1.9 trillion as of June 30, 2025. Lower borrowing costs could support exit activity and fundraising in 2026, although sustained geopolitical uncertainty poses an ongoing risk. According to PitchBook, private equity funds returned 1.2% in the third quarter of 2025 and have generated an annualized return of 14.2% for the five years. Source: NCREIF, PitchBook, Cliffwater. As of September 30, 2025, the most recent period for which all index data is available. Returns for Private Capital Assets Sources: Pitchbook. * Total capital raised in 2025 as of December 31, 2025 - most recent period for which ALL fundraising data is available. ** Cumulative dry powder as of June 30, 2025 except Infrastructure dry powder which is as of March 31, 2025. Private Capital Fundraising & Dry Powder Private Real Estate Infrastructure Private Debt Private Equity QTD 1.22%2.57%2.50%1.19% YTD 3.76%6.94%7.05%5.08% 1 Year 4.70%6.98%10.67%6.16% 0% 2% 4% 6% 8% 10% 12% Closed-End Real Estate Infrastructure Private Debt Private Equity Venture Capital YTD Fundraising ($B)*$93.96 $193.81 $234.06 $414.23 $122.08 Dry Powder ($B)**$400.24 $377.00 $618.16 $1,888.43 $696.35 $0 $200 $400 $600 $800 $1,000 $1,200 $1,400 $1,600 $1,800 $2,000 $ B i l l i o n s 2.7 Exhibit A Resolution No. 2026-070 Page 10