Calpers’ Eliopoulos: Lower 7% Target Is `Reasonable' Move

The video discusses the challenges and strategies related to managing an investment portfolio for a pension fund like CalPERS. It covers the importance of setting a reasonable discount rate and assumed rate of return, considering the current low interest rate environment. The video also explores intermediate and long-term forecasts for investment returns, highlighting the challenges posed by underfunding and negative cash flows. Strategies to address these challenges include long-term investment planning and asset reallocation.

What challenges does CalPERS face regarding its funding status?

In what ways does CalPERS plan to manage risks in its investment strategy?