The Role of the Investment Officer in CalPERS

The Importance of the Investment Officer in CalPERS

The California Public Employees’ Retirement System (CalPERS) is one of the largest public pension funds in the United States. With over $400 billion in assets, CalPERS plays a crucial role in providing retirement benefits to public employees in California.

At the heart of CalPERS' investment strategy is the Investment Office, which is responsible for managing and investing the pension fund's assets. Within the Investment Office, the role of the Investment Officer is of utmost importance.

Meet the Investment Office Senior Team

The Investment Office Senior Team consists of talented individuals who are responsible for investing and managing CalPERS' assets, programs, and services. Let's take a closer look at some key members of this team:

• Dan Bienvenue: Dan Bienvenue is the Interim Chief Investment Officer at CalPERS. With his extensive experience in investment management, he plays a crucial role in overseeing CalPERS' investment strategy.
• Michael Cohen: Michael Cohen is a key member of the Investment Office Senior Team, responsible for managing CalPERS' equity investments. His expertise in equity markets helps drive CalPERS' investment performance.
• Daniel Booth: As a Managing Investment Director, Global Equity, Daniel Booth brings valuable insights and expertise to CalPERS' investment decision-making process.
• Peter Cashion: Peter Cashion is another important member of the Investment Office Senior Team, specializing in private equity investments. His knowledge and experience contribute to CalPERS' success in this asset class.
• Sarah Corr: Sarah Corr plays a crucial role in managing CalPERS' fixed income investments. Her expertise in fixed income markets helps CalPERS navigate through various market conditions.

CalPERS Selects Stephen Gilmore as Chief Investment Officer

Recently, CalPERS announced the selection of Stephen Gilmore as the new Chief Investment Officer. With extensive experience in public and private financial institutions and a deep understanding of different cultures and geographies, Gilmore is well-equipped to lead CalPERS' investment strategy.

As the Chief Investment Officer, Gilmore will be responsible for overseeing CalPERS' investment portfolio, implementing investment strategies, and managing risk. His appointment reflects CalPERS' commitment to excellence in investment management.

The CalPERS Investment Office Structure

The CalPERS Investment Office is organized in a way that ensures effective management of the pension fund's assets. Here are some key divisions within the Investment Office:

• Asset Classes: The Investment Office divides its investments into different asset classes, such as global equity, global fixed income, private debt, private equity, and real assets. This approach allows for diversification and maximizes returns.
• Other Investment Divisions: Besides asset classes, the Investment Office also has divisions focused on total fund portfolio management, affiliate investment programs, board governance & sustainability, investment controls & operational risk, investment technology, data, and performance, investment operations, and investment talent & culture.

The Role of the Investment Officer

The Investment Officer plays a critical role in CalPERS' investment strategy. Their responsibilities include:

• Developing Investment Strategies: The Investment Officer is responsible for developing investment strategies that align with CalPERS' long-term goals. They analyze market trends, evaluate risk, and identify investment opportunities.
• Portfolio Management: The Investment Officer oversees the management of CalPERS' investment portfolio. They monitor the performance of various asset classes, make adjustments as needed, and ensure the portfolio is well-diversified.
• Risk Management: Managing risk is a key aspect of the Investment Officer's role. They implement risk management strategies to protect CalPERS' assets and ensure the long-term sustainability of the pension fund.
• Collaboration: The Investment Officer works closely with other members of the Investment Office Senior Team and collaborates with external investment partners to achieve CalPERS' investment objectives.

Conclusion

The Investment Officer plays a crucial role in CalPERS' investment strategy. With their expertise and experience, they contribute to the success of the pension fund's investment portfolio. Through effective portfolio management and risk management, they help ensure the financial well-being of California's public employees.