CalPERS Increasing Target to Private Equity, Private Credit

The California Public Employees’ Retirement System is making changes to their strategic asset allocation plan which would increase the target allocation to private equity and private credit.

The private equity target allocation was increased by 4% to 17% of the fund. And private credit was increased by 3% to 8% of the fund. 

As a result, the public equity target was decreased by 5% to 37% of the fund and fixed income was decreased by 2% to 28%.

The $500 billion retirement systems new strategic asset allocation includes:

• Public Equity: 37%
• Private Equity: 17%
• Fixed Income: 28%
• Private Debt: 8%
• Real Assets: 15%
• Leverage: −5%

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