Story perspectives

Audit Finds 9% CalPERS Private-Equity Underperforming, CEO Dismisses Report

5/23/2026

Summary

Story summary

The investigation found 9% of CalPERS assets in private-equity partnerships that deliver little return.
The review was commissioned by the Retired Public Employees Association after a legislative audit request was denied.
The review concluded the fund suffers from secrecy, chronic underperformance, high costs and conflicts of interest.
CalPERS chief executive Marcie Frost called the report baseless, sending a DVD and a link that the investigator could not review.

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Story summary

The investigation found 9% of CalPERS assets in private-equity partnerships that deliver little return.
The review was commissioned by the Retired Public Employees Association after a legislative audit request was denied.
The review concluded the fund suffers from secrecy, chronic underperformance, high costs and conflicts of interest.
CalPERS chief executive Marcie Frost called the report baseless, sending a DVD and a link that the investigator could not review.