CalPERS

Private Equity

The Private Equity Program is responsible for investing in domestic and international private equity transactions, which are investments in the securities of companies and partnerships that are not publicly traded. With more than $51 billion of total exposure to this asset class, CalPERS is one of the largest private equity investors in the world. The Private Equity Program’s goal is to perform as “the investor of choice” and leverage marketplace opportunities in order to achieve superior risk-adjusted returns. We accomplish this through three investment components – Partnership, Direct, and Fund-of-Funds. Since its inception in 1990 to March 31, 2011, the Private Equity Program has generated $17.8 billion in profits for CalPERS.

Program Components

  • Partnership – CalPERS assumes a Limited Partner role in funds that are managed by top private equity investment managers. We commit capital alongside other institutional investors to Limited Partnerships, or funds. The managers, or General Partners, then make private investments into companies at their discretion.
  • Direct – CalPERS makes an investment directly into a company. This is done either alongside a General Partner (co-investment) or independent of other investors (direct).
  • Fund-of-Funds – The Private Equity Program also invests in some fund-of-funds managers whose mandate is to source new, attractive opportunities in niche private equity markets.

Skills Development

As a member of the CalPERS Investment team, you will have the opportunity to develop fundamental skills in your career. You will learn to:

  • Analyze fund investments
  • Perform quantitative and qualitative analysis

Education

You will find the following courses of study useful:

  • Corporate Finance
  • Managerial Accounting
  • Investment Analysis
  • Accounting
  • Organizational Behavior

Dated: 08-13-2012