Trust Fund Committee Reviews Investment Performance for April – June 2025, Approves Individual Support Distribution and Extraordinary Needs Distributions and Conducts Other Trust Fund Business

WASHINGTON, D.C. (August 22, 2025)– The Trust Fund Committee of the Trust Fund for the People of the Republic of the Marshall Islands (the Fund) conducted its Fiscal Year 2025 (FY 2025) fourth quarter meeting on August 21 in Washington DC. The Committee reviewed the Fund’s investment performance from April 1 to July 31, 2025. The Committee also approved the first distributions provided for under the 2023 Compact of Free Association, as amended. In addition, the Committee conducted administrative business to support the Trust Fund’s operations into the future.

For the April-June quarter, the Fund had a net asset value of $1,316,997,236 as of June 30. The Fund had a gain for the quarter of 7.82%, net of fees, compared to a benchmark gain of 9.05%. Of the total, Account 1 had a net asset value of $874,897,485 and a gain of 7.80%, net of fees, compared to a benchmark gain of 9.21%. Account 2 had a net asset value of $442,099,750. and a gain of 7.88%, net of fees, compared to a benchmark gain of 8.74%.

For July, the most recent complete month reviewed at the meeting, the Fund had a total net asset value of $1,314,707,173 as of July 31 and gained 5.81% fiscal year-to-date (October-July), net of fees, compared to the benchmark of 8.20%. Since the inception of the Fund in 2004, the Fund has had an average annual rate of return of 6.90%, net of fees (benchmark 7.33%). As of the end of July, Account 1 had a net asset value of $873,217,311 and Account 2 had a net asset value of $441,489,862.

The Committee approved distributions under Article 17 of the 2023 Amended Compact’s Trust Fund Agreement regarding Individual Support Distribution (ISD) from Account 1 and under Article 18 Extraordinary Needs Distribution (END) from Account 2.

For the ISD, the amount of $27,737,395 was approved with $26,523.395 to be distributed to RMI citizens residing the Republic of the Marshall Islands in quarterly payments, $850,000 for administrative costs of the Marshall Islands Social Security Administration to administer and distribute the individual support distributions in Fiscal Year 2026 (FY 2026) and for costs incurred for preparation work during FY 2025, and $364,000 for annual audit costs.

For the END, the total amount of $19,996,515 was approved for funding of needs and projects in the atolls and islands designated in Article 18(2) of the Agreement to include Ailuk, Aur, Bikini, Enewetak, Ujelang, Likiep, Lib, Mejit, Rongelap, Rongerik, Wotje, Wotho and Utrok. The Committee agreed that specific conditions would be met prior to the release of disbursements for some programs. Of the total approved, $999,826 is to establish and support the Monitoring and Evaluation Unit within the Ministry of Finance, Banking and Postal Services that the Government of the Republic of the Marshall Islands has committed to establishing to support effective and timely monitoring, evaluation, and reporting. The funding will also support the annual audit costs of the END program.

The funding for the ISD and END is expected to be disbursed on a quarterly basis provided that the additional conditions established by the Committee are met.

In other business, the Committee approved resolutions to assist operations for FY 2026 to include: approval of the FY 2026 investment and administrative budget; a service agreement with Bookminders, the Fund’s accounting service provider; and a contract extension for the Executive Administrator.

The next quarterly meeting is scheduled for December 2025.