<article>Venture capital was the worst performer for the <a style="color: #000080;" href="http://www.dealstreetasia.com/?s=calpers">California Public Employees’ Retirement System</a> among its private-equity investments.</article>

Venture capital was the worst performer for the <a style="color: #000080;" href="http://www.dealstreetasia.com/?s=calpers">California Public Employees’ Retirement System</a> among its private-equity investments.
Returns for VC holdings at the nation’s largest public pension fund were 7 percent over the last five years and 5.6 percent over the last decade, according to a presentation prepared for the board. The investments lagged behind all other private-equity assets for Calpers, partly due to “modestly decreased” activity in venture-backed initial public offerings, the presentation said.
Calpers, which manages about $303 billion, has pared back investments in VC funds to represent 5 percent of its private-equity portfolio. Calpers has been working toward reducing its VC assets to 1 percent of its total because it’s been rejected by many top firms it wants to invest in. In 2012 when VC holdings were 7 percent of the portfolio, a Calpers executive said VC firms often prefer to keep out investors that are required by law to publicly disclose details about fund performance.
<a style="color: #000080;" href="http://www.dealstreetasia.com/?s=khosla">Khosla Ventures</a> is Calpers’s largest venture bet, accounting for $212 million, according to the presentation for the pension fund’s investment committee. Calpers has also committed $196 million to CDH Ventures Partners, $117 million to VantagePoint Venture Partners, $102 million to Essex Woodlands Health Ventures and $76 million to Clarus Ventures.
While Calpers is pulling back, others are pouring money into VC funds. The industry is on track to have its best year in at least a decade after 134 venture firms raised $22.5 billion during the first half of 2016, according to research firm <a style="color: #000080;" href="http://www.dealstreetasia.com/?s=pitchbook">PitchBook</a>.
Calpers, which is responsible for the retirement savings of more than 1.7 million members, sold assets in 46 funds totaling more than $2 billion during the first half of the year, though the report compiled by the Pension Consulting Alliance didn’t specify the names of the funds.
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Bloomberg

Venture capital was the worst performer for the California Public Employees’ Retirement System among its private-equity investments.

For Calpers, venture capital turns worst-performing asset among PE investments

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For Calpers, venture capital turns worst-performing asset among PE investments

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