The California Public Employees’ Retirement System, the largest public pension fund in the U.S. with approximately $260 billion in assets, has made a few changes to its investment fund lineup for the system’s Supplemental Income Plans (SIP).
SIP consist of the CalPERS 457 Plan, State Peace Officers’ and Firefighters’ Defined Contribution Plan, Supplemental Contributions Plan, and Placer County 401(k) Plan.
CalPERS’ staff and its consultant RV Kuhns engaged in the plans’ investment revisions “to avoid an overly complex fund lineup that might confuse the average participant,” according to an internal memo. Specifically, the plans’ all-passive fund lineup includes target-date funds, U.S. equity, international equity and short-term bond funds to be managed by State Street Global Advisors, which replaced the plans’ former managers The Boston Company, Pyramis Global Advisors and PIMCO.
In a statement, Rob Feckner, CalPERS’ Board president, said: “The changes to SIP provide members with competitive supplemental retirement investment options and make accounts easier to manage.”