CalPERS’ investment committee will review the $209.1 billion system’s 7.7% rate-of-return target during its May 17 workshop on capital markets forecasts.
“Our discussion of market trends will help us set realistic three-year investment targets and ranges for stocks, private equity, fixed income, real estate and inflation-linked assets,” George Diehr, investment committee chairman, said in a statement Tuesday. “We’ll make no immediate decisions but test assumptions for investment earnings. Are they too aggressive, too pessimistic or just about right? What adjustments might we need to make?”
The workshop is part of an overall review by the California Public Employees’ Retirement System, Sacramento, that will eventually lead to new asset allocation plan for 2011, 2012, and 2013. Such a plan is expected to be completed by the end of this year.