Emerging & Transition Manager Programs

CalPERS has a legacy of leadership and innovation in emerging manager investment strategies. We've been investing with emerging managers directly and through fund-of-funds for more than 20 years.

View our Events for opportunities to engage with us.

For more information on our efforts in emerging, transition, and diverse manager investing, review our 2012 Emerging Manager Five-Year Plan (PDF).

The new Emerging and Transition Manager 2020 Plan (PDF), beginning July 1, 2017 and ending June 30, 2020, focuses on six key initiatives intended to maintain CalPERS leadership in emerging and transition manager programs, and build on the success of the initial Five-Year Plan.

Emerging Manager Definitions and Program Parameters

Emerging managers are generally defined as newly formed or relatively small firms. Several CalPERS asset classes have emerging manager definitions based on assets under management and/or length of track record.

Our objectives for investing in the Emerging Manager Programs:

Generate appropriate, risk-adjusted investment returns by identifying early stage funds with strong potential for success
Access unique investment opportunities that may otherwise be overlooked
Cultivate the next generation of external portfolio management talent

Below are the parameters for emerging managers based on asset class.

Asset Class	Global Equity	Private Equity	Real Estate
Program	Emerging Manager Advisor Program	Emerging Domestic Private Equity Managers	Real Estate Emerging Manager Program
Investment/Strategy	Long Only - Publicly Traded Securities	Buyout & Special Situations	Separate Accounts & Commingled Funds
Product Size	No Requirement	Less than $1 billion	No Requirement
Firm Assets Under Management	Less than $2 billion	No Requirement	Less than $1 billion
Length of Track Record	No Requirement	First or Second Institutional Fund	First, Second, or Third Separate Account or Institutional Fund
Geographic Focus	No Requirement	Domestic U.S.	Urban California

Emerging Manager Program Advisors

Through the Emerging Manager Program, we hire advisors who construct portfolios of smaller asset management firms for CalPERS. If you're an emerging manager and would like to submit an investment proposal, you may reach out to one of the emerging manager advisors below or complete the Investment Proposal Submission directly through CalPERS.

Tab 1 Content

Emerging Manager Program Advisors

Fiduciary Investment Solutions, Inc. (FIS)
Contact: Cesar Gonzales
1818 Market Street, Suite 3205
Philadelphia, PA 19103

Leading Edge Investment Advisors (LEIA)
Contact: Clayton Jue
50 California Street, Suite 2320
San Francisco, CA 94111

Legato Capital Management
Contact: Eric Pollack
111 Pine Street
San Francisco, CA 94111
Phone: (415) 821-8586

Progress Investment Management
Contact: Jose Balagot
33 New Montgomery Street, Floor 19
San Francisco, CA 94105

Strategic Investment Group
Contact: Chris Pond
1001 Nineteenth Street North, 16 Floor
Arlington, VA 22209
Phone: (703) 243-4433

Tab 2 Content

Emerging Manager Program Advisor
Grosvenor Customized Fund Investment Group
Jason R. Howard, Director
10250 Constellation Boulevard
Suite 1650
Los Angeles, CA 90067
Phone (310) 683-2713
Fax (310) 683-2733

Tab 3 Content

Joint Venture with California-Based Emerging Manager Program Advisor Investing in California Urban Real Estate

Canyon Partners Real Estate
Maria Stamolis, Co-Head of Real Estate Investments & Director of Asset Management
2000 Avenue of the Stars, 11th Floor
Los Angeles, CA 90067
(310) 272-1500
Fax (310) 272-1501

Transition Manager Definition and Program Parameters

In June 2015, CalPERS announced the industry-leading Transition Manager Program with the following objectives:

Generate appropriate risk-adjusted investment returns by investing with managers with demonstrated early stage success
To have continued access to investment opportunities with successful firms and increased representation of women and minority owned firms in the CalPERS portfolio
To provide a path of growth and opportunity for emerging managers to build their firms to a size large enough to compete for entry into our pool of larger established managers

Below are the parameters for transition managers based on asset class.

Asset Class	Global Equity	Private Equity	Real Estate
Program	Transition Manager Program	Transition Manager Program	Transition Manager Program
Investment/Strategy	Long Only - Publicly Traded Securities	Buyout & Special Situations	Separate Accounts & Commingled Funds
Product Size	No Requirement	No Requirement	No Requirement
Firm Assets Under Management	$2 billion Minimum	No Requirement	No Requirement
Length of Track Record	No Requirement	Third, Fourth, Fifth, and Sixth Institutional Fund	Fourth, Fifth, and Sixth Separate Account or Institutional Fund
Geographic Focus	No Requirement	Domestic U.S.	No Requirement