Sat, Jun 25, 2016
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

CalPERS posts 18.4% return year-to-date

Tuesday, July 15, 2014

Bailey McCann, Opalesque New York:

The California Public Employees' Retirement System (CalPERS) reported a preliminary 18.4 percent return on investments for the 12 months that ended June 30, 2014. CalPERS assets at the end of the fiscal year stood at more than $300bn. Alternative strategies including absolute return products, private equity and real estate helped to bolster fund returns.

The gain marks the fourth double-digit return the pension fund has earned in the last five years. Investments in domestic and international stocks returned 24.8%, outperforming the CalPERS custom public equity benchmark by 0.5%. Investments in income-generating real assets like office, industrial, and retail assets returned 13.4% outperforming the Pension Fund's benchmark by 1.6% points.

CalPERS 18.4% return is well above the Fund's discount rate of 7.5%, the long-term return required to meet current and future obligations. CalPERS 20-year investment return is 8.5%, while its return since 1988 is 8.9%.

Private equity investments posted returns of 20.0%. Absolute return strategies posted returns of 7.1%, adding to the overall performance of the broader portfolio. CalPERS has been working through alterations to its allocations to alternative strategies. Allocations to the credit side of hedge fund strategies are likely to increase, while target allocations for private equity have gone down as the pension faces difficulty finding investment opportunities in that sec......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing


  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Opalesque Roundup: Hedge funds shrink as liquidations outpace new launches in Q1: hedge fund news, week 27[more]

    In the week ending 17 May, 2016, HFR said hedge fund liquidations declined narrowly to begin 2016 after rising sharply to conclude 2015, as investors positioned f

  2. Europe - Hedge funds keep powder dry over big Brexit bets, Hedge funds sense profit in Europe shock waves after Brexit vote, Soros warns Brexit may cause pound plunge worse than Black Wednesday, After Brexit: What will happen if Britain votes to leave the UK?[more]

    Hedge funds keep powder dry over big Brexit bets From FT.com: Hedge funds are shying away from big bets on Brexit, with many unwilling to risk further losses having already suffered a painful first half of the year. With the outcome of a UK vote on the country’s membership of the Europea

  3. News Briefs - ’Flash Boys’ get green light to launch stock exchange, Pimco says ‘storm is brewing’ in U.S. commercial real estate, Bankers get ready to rumble at Hedge Fund Fight Night, AIMA Australia celebrates 15th anniversary[more]

    ’Flash Boys’ get green light to launch stock exchange In an investing environment ruled by fast, the newest U.S. public stock exchange is banking on slow. Well, slower. IEX Group, which won Securities and Exchange Commission approval on Friday to go head-to-head with the New York Stock E

  4. Blackstone buys minority stake in New York-based credit hedge fund Marathon[more]

    Benedicte Gravrand, Opalesque Geneva: Blackstone Strategic Capital Holdings Fund, a vehicle managed by Blackstone Alternative Asset Management (BAAM), has acquired a passive, minority interest in Marathon Asset Management, for an undisclosed sum. Based in New York,

  5. Visium hedge fund manager Sanjay Valvani found dead[more]

    Benedicte Gravrand, Opalesque London: A hedge fund manager connected with an insider trading case has apparently committed suicide. Sanjay Valvani, 44, a hedge fund manager at New York-based Visium Asset Management, was found dead in an apparent suicide on 21 June in his Brooklyn residence,