CalPERS Taps Hedge Fund Managers

April 11, 2002 ( - Officials at the California Public Employees' Retirement System (CalPERS) have tapped five hedge-fund managers who will run an initial chunk of $10-million each as part of a $1 billion hedge-fund initiative announced 18 months.

The $150-billion fund named:

  • Andor Capital Management
  • Atticus Capital Management
  • Evnine-Vaughan Associate
  • Liberty Square Asset Management
  • Symphony Asset Management

CalPERS’ investment committee is expected to consider the manager appointments at its April 15 meeting.

Spokesman Brad Pacheco told Dow Jones that CalPERS’ investment committee doesn’t have to approve these five investments because the pension plan has given it the authority to make allocations of less than $200 million to its hedge fund program.

However, he said the money wouldn’t be doled out until CalPERS negotiates the terms of investment contracts with the five hedge funds, a process that typically takes 60 days.

“The reason the amounts are small is we are taking a conservative approach, as we told our board we would,” he told Dow Jones. “We’re going to see how the first $10 million works before allocating additional funds.”

CalPERS has the option to allocate a total of $50 million each to Andor Capital, Atticus Capital, Evnine-Vaughan Associates and Symphony Asset Management and a total of $40 million to Liberty Square Asset Management.