Image Credit: Alex Nabaum
You can learn a valuable lesson from the nation’s largest public-pension plan: Be careful how high you set your expectations. You might have to try to meet them.
The $358 billion California Public Employees’ Retirement System has been studying whether to adopt a new approach that would increase its private-equity holdings. The giant organization already has nearly $28 billion, or 8% of assets, in such funds, which invest in startups or in corporate buyouts. Calpers’ board voted in principle March 18 to move forward with a plan that could funnel up to $20 billion into such venture and buyout funds over the next decade.…
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This article was originally published on The Wall Street Journal.
Further reading
Benjamin Graham, The Intelligent Investor
Jason Zweig, The Devil’s Financial Dictionary
Jason Zweig, Your Money and Your Brain
Jason Zweig, The Little Book of Safe Money
Verdad Capital, “Lessons from Oregon“
Research papers by Steven Kaplan, University of Chicago Booth School of Business
Provoking Posts, “Betting Like Buffett“