Monday, 30 March 2015
Last updated 2 days ago
Jun 6 2007 | 9:32am ET
The California Public Employees Retirement System has announced a $700 million commitment to healthcare direct investments, co-investments and private equity.
The latest initiative from the pension giant’s Alternative Investment Management program is a joint venture with newly-founded p.e. firm Health Evolution Partners, headed by former National Coordinator for Health Information Technology David Brailer. Of the system’s total healthcare investment initiative, some $500 million will go to co-investments and direct investments in healthcare companies, with the remaining $200 million dedicated to healthcare p.e. firms and strategic joint ventures.
“Billions of investment dollars are already in the healthcare market, but what’s missing is the focused investment of those dollars to specifically address the needs of purchasers,” CalPERS’ CEO Fred Buenrosto said. “Our new innovative approach will enable us to invest more efficiently by identifying needs based on our experience in spending nearly $5 billion a year to provide health benefits to 1.2 million enrollees.” In addition, the system notes, AIM already invests in some 800 healthcare companies through private equity funds, and has billions of dollars in pharmaceutical, hospital and other healthcare stocks.
“This investment represents a significant opportunity to leverage our twin role as a leading health benefits purchase and investor to bolster our market returns while addressing severe inefficiencies in the healthcare sector,” Rob Feckner, president of the CalPERS board, said. “The need is urgent since the fragmented, inefficient healthcare market has hit our Health Program members with double-digit premium increases the past five years.”
Mar 9 2015 | 6:35am ET
As more investors look to diversify, many are beginning to use retirement funds to invest in alternative assets such as private equity and real estate. Kelly Rodriques, CEO & President of PENSCO Trust Company, explains how companies can connect with those looking to use their retirement accounts in a different way. Read more…
Mar 20 2015 | 12:45pm ET
StreetWise Partners, a non-profit organization that works with low-income individuals to help them overcome employment barriers, raised over $275,000 at the 2015 Raising the Ante Charity Poker Tournament and Casino Event last Wednesday evening at Capitale. Here are some photos from the event. Read more…