SANTA FE, N.M. (AP) — New Mexico's pension fund for educators has posted modest investment gains in the past year, reflecting continued volatility in the financial markets.

The Educational Retirement Board reports a 2 percent investment return for the fiscal year ending June 30. That performance was better than 85 percent of similarly large public investment funds.

The pension fund has assets of $9.4 billion. That's about $96 million less than a year ago because pension payouts exceeded investment gains and employee contributions into the fund.

The fund had a negative investment return of nearly 1 percent for the most recent quarter, but there have been gains over 10 years with a 6.8 percent rate of return.

Lawmakers are expected to consider pension system changes next year to shore up the fund's long-term finances.