CalPERS Loses $9 Billion as Stocks Fall

The California Public Employees’ Retirement System lost $9 billion in February, led by a $6.7-billion drop in the value of its U.S. stocks, according to information published on its Web site. The largest U.S. public fund’s 5.3% decline in assets is equivalent to $7,500 for each of the 1.2 million state and local employees it covers. Yet the dip won’t affect payouts, the fund said. The fund has $160 billion in assets. The system’s investment staff expects ups and downs, spokeswoman Pat Macht said. “They’re alert but not alarmed,” she said. “They’re sticking to their strategy.” That strategy, as at most other big pension funds, is to divvy up its money among various types of investments and keep that asset allocation stable. The system has 57% of its money in stocks and 30% in bonds, with the remainder in investments ranging from buyout firms to real estate.