Calpers removing entire US$4b put in hedge funds

[SACRAMENTO] The California Public Employees' Retirement System (Calpers) plans to divest the entire US$4 billion that it invested with hedge funds, saying they're too expensive and complex.

The decision to eliminate 24 hedge funds and six hedge fund-of-funds, isn't related to the performance of the programme, interim chief investment officer Ted Eliopoulos said on Monday.

The board of the US$298 billion pension, hasn't decided where to invest the money after the pull-out, which will take about a year, he said.