Saturday, 5 September 2015
Last updated 6 hours ago
Jul 2 2008 | 12:40pm ET
The California Public Employees Retirement System is betting on a pair of Asian activist funds to give its corporate governance portfolio a boost.
The $235 billion fund committed $200 million to Taiyo Cypress Fund, which takes an activist approach to Japanese public and private companies.
TCF is a joint venture between Taiyo Pacific Partners, a California-based firm, and WL Ross & Co., a New York-based private equity shop. The fund has a target size of between $2 billion to $4 billion.
The portfolio will hold eight to 10 publicly-traded companies representing no less than 65% of the portfolio, with the remainder of the portfolio to be comprised of private companies.
CalPERS is also committing $100 million to Lazard Korea Corporate Governance Fund, an open ended Irish-listed offering launched in 2006 with a targeted capacity of roughly $600 million.
The fund’s strategy is to invest in small and mid-sized Korean companies that it deems undervalued with “significant room to improve governance principles and practices.”
“Notably, the fund will pursue its objective through a collaborative discussion between company management, the fund and other shareholders, rather than a confrontational approach,” the firm said in an internal memo.
May 27 2015 | 2:15pm ET
Support Hedge Funds Care, also known as Help For Children (HFC), by participating in this year's raffle. All proceeds go to support HFC's mission of preventing and treating child abuse. Read more…