Monday, July 20, 2009

CalPERS Monthly Update: July 2009

CalPERS' fortunes seem to be tied to the stock market, and both have had a rather stagnant six weeks or so:


Here's a correlation showing change for both the CalPERS fund and the S&P 500 since January 6, 2006:


The two seem to track perfectly until July 2007, when the S&P started gyrating first toward its record high, then declined to a 15 year low in March 2009. Maybe we should be happy: While the S&P is down 38.9% from it's peak on October 12, 2007 as of today, CalPERS is only down 28.9% from its peak on November 16, 2007. Good think PERS is so well diversified.

2 comments :

Anonymous said...

I am impressed that a fund so large managed such significant out-performance during this time.

Anonymous said...

The "out-performance" could be more of an accounting thing. CalPERS has plenty of illiquid assets they can mark to "fantasy" if they want.