CalPERS today approved a staff recommendation to slightly change the $177.8 billion system's strategic asset allocation to real estate and alternatives to better reflect the actual portfolio holdings. The allocation was dropped by one percentage point each to 8% and 6%, respectively.
Separately, the board of the $177.8 billion California Public Employees' Retirement System, Sacramento, prohibited future investments in private equity funds that invest in companies that outsource public employee jobs to the private sector. The policy, which was sought by unions, is expected to become a model for other public pension funds.
The board also will call on auto manufacturers to meet with CalPERS and the $118.7 billion California State Teachers' Retirement System, also in Sacramento, on new state auto emission standards. The Washington-based Alliance of Automobile Manufacturers last week challenged California auto emission standards in court. California Controller Steve Westly urged a meeting between the pension funds and the auto industry to resolve their differences.
