From Federal Reserve Flow of Funds Table F119, we see that State and Local Government Employee Retirement Funds were selling stocks and buying bonds during Q3 2005.

Since stock prices were rising and bond prices were falling during the quarter, this contrarian asset management behavior is another indication that smart investors were getting out of equities in Q3 2005.

(See also: “Private Pension Funds Continue to Sell Equity Holdings: Q3 2005“.)