Alaska residents will receive a record breaking $2,072 payment this year from the Alaska Permanent Fund.

The payment bests last year’s $1,884 and is $3 higher than the former record holding payout made in 2008, Reuters noted.

The fund is managed by the state owned Alaska Permanent Fund Corporation and has a current market value of $51.46 billion, up 15.5 percent from 2014

Even a steady five year production decline in the state hasn’t slowed the fund’s growth.

Producers in Alaska pumped just 497,000 barrels per day in 2014, down significantly from 645,000 bpd in 2009, according to the U.S. Energy Information Administration.

The state’s North Slope area saw production fall from 638,000 thousand bpd in 2009 to 479,000 bpd in 2014.

Despite falling production and low oil prices, the fund has managed to prosper through its real estate investments and strong stock performance.

The fund’s $5.4 billion global stock portfolio gained 25 percent during the 2014 fiscal year while its direct real estate portfolio earned a net return of 11.4 percent for 2014 and ended the year with a value of $3.7 billion.

According to preliminary figures released in August, the fund gained 4.9 percent in fiscal year 2015, ahead of the performance benchmark return of -1.4 percent.

The fund earned $2.9 billion in statutory net income for the 2015 fiscal year, and transferred $1.4 billion to the Permanent Fund Dividend Division for the 2015 dividend payment, up from $1.2 billion in 2014.

Alaskan lawmakers are now considering measures such as a dividends cap to help the state to raise revenue and close budget gaps.

“It is time to have an open and honest conversation about our finances, and how resources like the Permanent Fund can be used as an asset,” Alaskan governor Bill Walker told Reuters.

The payment amounts are calculated using a formula that averages the fund’s earnings over a five year period.

Residents must live in Alaska for a full calender year before they are eligible to receive payments.

The state will begin distributing this year’s payments on October 1.

The Alaska Permanent Fund was established in 1976 by a state constitutional amendment and requires that a portion of the state’s oil revenues be placed into a savings account.

The fund holds investments in U.S. bonds and stocks, real estate, cash, non-U.S. stocks, global stocks and External CIO.

The fund does not invest in projects that are primarily focused on economic or social development.


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