The Investment Office invests and manages CalPERS assets. The portfolio invests in stocks, bonds, real estate, private equity, inflation-linked assets, and other public and private investment vehicles. Our goal is to generate total returns on a long-term basis while managing risk.

  • Individual investment decisions are made by an internal trading staff as well as external equity managers on behalf of the CalPERS Board of Administration.
  • The Board adopted a set of beliefs that articulate the Pension Fund's views on the public pension design, funding, and administration.
  • The Board has investment authority and sole fiduciary responsibility for the management of CalPERS assets.
  • Trading decisions are governed by policies established by the Investment Committee in accordance with applicable law.
  • With the Board's guidance, the Investment Committee and Investment Office carry out the daily activities of the Investment Program.

Asset Classes

Global Public Equity is the principal asset class providing growth exposure in the strategic asset allocation. Its goal is to provide equity beta exposure plus risk-managed systematic and opportunistic alpha. The Global Public Equity program is responsible for CalPERS investments in securities traded in global public equity markets, including in-house management of index-oriented and active strategies, as well as selecting and overseeing externally managed active strategies. Global Public Equity is also responsible for our Corporate Governance activities, including proxy voting and corporate engagement.

Assets in the Portfolio: U.S. and international markets public equities, foreign currencies, and derivatives exposure.

Global Fixed Income is responsible for managing and overseeing the Total Fund’s Global Fixed Income Program and the CalPERS Short Term Investment Fund. Income consists mainly of investment-grade and high-yield corporate securities, emerging market sovereign debt, mortgage-backed securities, and U.S. Treasuries. The income mandate is to serve as a long-term economic diversifier to the Total Fund equity risk and to be a reliable source of income and liquidity.

Assets in the Portfolio: U.S. and international bonds.

Private Debt is an asset class approved by the Board in 2021. The Private Debt team is responsible for managing all private debt investment exposures including direct lending, residential mortgages, real estate financing, and specialty lending strategies. The Private Debt team manages the Private Debt allocation, mainly through limited partnerships and co-investment opportunities.

Assets in the Portfolio: U.S. and international private debt.

Visit Private Debt Program Fund Performance Review for more information.

The Private Equity Program focuses on leveraging its scale, expertise and long-term orientation to achieve attractive risk-adjusted equity returns by investing across private market strategies globally. Private market investments are typically held over longer-investment horizons with limited liquidity, but in return provide the Total Fund with increased diversification and enhanced returns. The program aims to build long-term partnerships with exceptional investors around the globe and invest in both fund partnerships and co-investments into operating companies. Consistency in capital deployment and strategy are critical to the long-term success of the Private Equity Program. The program currently invests in four ways:

  1. Private equity limited partnerships ("limited partnerships")
  2. Direct and co-investments with existing CalPERS general partners
  3. Direct secondary investments
  4. Fund of funds (for specific mandates only)

Strategies in the Portfolio: Buyouts, credit-related, venture capital, growth/expansion, and opportunistic.

Visit Private Equity Program Fund Performance Review for more information.

Investment Proposals: Review the Investment Proposal Submission site if you're interested in submitting a proposal to the Private Equity Program. The Private Equity Program is not currently seeking investment proposals related to the following funds:

  • Non-control credit
  • Agricultural and farming
  • Bank-sponsored leveraged buyouts
  • Life settlement
  • Movie production

Emerging Manager Program: The Private Equity Program is actively engaged in an Emerging Manager Program. CalPERS investment staff select advisers for the program, and these advisers actively seek emerging manager investment opportunities. You may also submit an investment proposal to CalPERS staff, and if appropriate, staff will refer you to an emerging manager adviser.

The Real Assets Program consists of two distinct portfolios: Real Estate and Infrastructure. These investments are acquired and managed through separate accounts, joint ventures, and commingled funds between CalPERS and investment management firms. The role of the Real Assets Program is to provide a stable and predictable cash yield, diversification of equity risk, and inflation protection.

Strategies in the Portfolio: Real Estate and Infrastructure.

View the Real Assets Portfolio and Performance Report (PDF) for more information.

The Total Fund Portfolio Management is responsible for managing the Asset Liability Management process, implementing the strategic asset allocation set by the Board, providing economic and quantitative analysis to support the investment-decision making process, and centralized trading services.

Assets in the Portfolio: Multi-asset class.

Investment Division: Total Fund

Current Portfolio Size: View CalPERS Investment Fund Values

The Affiliate Investment Program (AIP) is responsible for the management of nine Affiliate Trusts, each with different purposes, participants, and investment strategies. The objective for the AIP is to achieve risk-adjusted returns aligned with each Trust’s purpose, while investing and operating with an efficient and low-cost structure. The primary responsibilities include managing the Asset Liability Management process and implementing the strategic asset allocation set by the Board.

Assets in the Portfolio: Multi-asset class.

Investment Division: Total Fund

Current Portfolio Size: View CalPERS Investment Fund Values

Other Investment Divisions

The Sustainable Investments Program provides centralized leadership and strategy related to sustainable investment topics and works to address short and long-term risks, and opportunities that can impact our returns. The Sustainable Investments Program conducts research on emerging sustainable investment risks and opportunities, and supports sustainable investment practices and environmental, social, and governance (ESG) factor integration into investment decision-making processes. The program also leads advocacy efforts on various sustainable investments and financial markets topics and collaborates with other asset classes and program areas on engagement with portfolio companies, external managers, and stakeholders, while prioritizing resources towards topics with the highest potential financial value.

ICOR is responsible for trade controls, advisory compliance, operational due diligence, and overall support for the operational risk control environment of the Investment Office.

Investment Technology, Data, and Performance is responsible for creating transparency in our portfolios and investment processes in order to ensure that investment risks are intended, understood, and compensated. The team's mandate includes portfolio analytics at both the trust and asset class levels, independent and unbiased reporting of investment performance and risk, and ongoing monitoring of key investment risk areas.

The Investment Operations Team is responsible for a multitude of investment processes related to operational responsibilities. Principally the functions cover four key units: transaction management, data management, contract oversight, and strategic planning. These functions are critical to enabling investment activities and supporting multi-asset class trading and portfolio.

The Investment Talent & Culture team is responsible for advancing the Investment Office’s vision of becoming a best-in-class destination employer by investing in our team members at all levels and classifications (talent management) to drive through leadership, a continuous improvement mindset, and high-performing and engaged culture of innovation.