SACRAMENTO, Calif. -- The California Public Employees' Retirement System adopted a streamlined asset mix for its $18 million supplemental contribution program.
The change stems from recent legislation that established the deferred compensation plan as a separate trust that no longer would be commingled with CalPERS' defined benefit assets. Now, assets will be invested in CalPERS' pooled funds for internally managed domestic equity domestic fixed income portfolios and a passive international equities run by State Street Global Advisors.
On the advice of Wilshire Associates, its consultant in Santa Monica, Calif., CalPERS adopted a mix of 52% U.S. equities, 28% U.S. bonds and 20% international equities. Previously, the policy had been 41% U.S. equities, 20% international stocks, 4% alternatives investments, 24% U.S. bonds, 4% international bonds, 6% real estate, and 1% cash equivalents.