South Carolina’s teachers, police and other state employees paid more than $1.8 billion in fees to Wall Street pension managers who turned in disastrous performances between 2011 and 2015.

A longtime critic of the funds’ management calculates that the combined costs of fees and bonuses to outside money managers have drained a staggering $7 billion from public employees' nest eggs since 2007.

And the fund’s returns have been subpar throughout that period, said South Carolina State Treasurer Curtis Loftis. When measured against the Bank of New York/Mellon benchmark, its three-year, five-year and 10-year returns all fall short. In February, South Carolina’s one-year negative return of -5.58 percent also trailed BNYM’s -5.12 percent for the same period.

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