Wednesday, 20 June 2007 08:00 The board of the California Public Employees Retirement System (CalPERS) announced Tuesday June 19, 2007 that it would double the amount of money its managers can invest in hedge funds from $5 billion to $10 billion. Approved investments will include both developed and emerging market funds. This is in response to the solid performance of these funds in recent years and the need to capitalize on excellent market opportunities, said Rob Feckner, CalPERS board president. Corporate governance and hedge funds also help us to reduce risk since they are less affected by market swings than many other investment strategies. CalPERS Senior Investment Officer Christy Wood stated that the pension funds attraction to hedge funds was based in large part on the ability of hedge funds to produce equity like returns with bond like risk and described hedge funds as significant alpha generators for the plan. CalPERS began investing in hedge funds in April 2002 with the goal of diversifying its investment portfolio, managing risk, and adding value to the fund. CalPERS overall portfolio is currently valued at some $245 billion.
Related Content
News
ILG Ranked #2 Globally for 2021-22 Hedge Fund Launches
ILG is pleased to be ranked the #2 law firm globally for hedge fund launches serviced over 2021 and H1 2022, cementing our place among the top global hedge fund law practices.
News
2021 Year In Review — Financial Markets and Hedge Funds — And a Look Ahead at 2022
2021 Year In Review — Financial Markets and Hedge Funds — And a Look Ahead at 2022 Closing the books on 2021, investors are reconsidering their investment portfolios in light…
News
Investment Law Group Announces Addition of Bill Winter to Firm’s Corporate Practice Group
ILG is pleased to announce the addition of Bill Winter to expand the firm’s growing Corporate Practice Group.