From the State Treasurer:
Illinois Treasurer Michael Frerichs Makes $1.5 Billion in Investment Earnings for State Portfolio During 2025
Another $882 million for cities, school districts through Illinois Funds
The State Treasurer’s Office made $1.5 billion in investment earnings from the state investment portfolio during 2025, Illinois Treasurer Michael Frerichs announced today.
Treasurer Frerichs is the state’s Chief Investment and Banking Officer. He is responsible for investing state revenue in the state investment portfolio.
“We are trying to maximize earnings for our state at a time when President Trump is illegally yanking away federal money from Illinois to give his billionaire cronies another tax cut,” Frerichs said. “Every dollar we earn in interest for the people of Illinois is a dollar that lawmakers don’t have to raise in taxes or cut in services.”
Under state law, the Treasurer’s Office is prohibited from directly investing the state’s portfolio in the stock market. Treasurer Frerichs convinced the General Assembly to allow his office to invest in secure local government bonds, such as those issued by Illinois school districts to purchase land or erect buildings, and prime money market funds that emphasize security and liquidity.
Under Frerichs, the Treasurer’s Office has improved returns by increasing the average weighted maturity of our investments, which was made possible by a healthier fiscal situation in our state, and by working with the governor and General Assembly on innovative ideas.
Also in 2025, the Treasurer’s Office made $882 million in gross investment earnings for cities, villages, school districts, counties and other units of government that take part in the highly rated Illinois Funds local government investment pool the State Treasurer’s Office operates. The Illinois Funds has received the highest rating of AAA from Fitch, a national credit ratings agency.
“We are working with local government to earn cities and school districts more through smart, safe investing to help out when costs are rising,” he said.
Key monthly metrics and more are available in The Vault, the transparency website that allows Illinois residents to see how the State Treasurer’s Office is working for them. The site is at iltreasurervault.com.
Also today, the Illinois State Treasurer’s Office announced that it has renewed $15 million in Israel Bonds that were set to expire at the start of February.
