The $300 billion California Public Employees' Retirement System has formed a $500 million global infrastructure partnership with UBS Global Asset Management. CalPERS will contribute $485 million to the newly formed vehicle, while UBS will contribute $15 million and act as managing member.
The partnership will operate as Golden State Matterhorn, LLC and will pursue infrastructure investment opportunities in the United States and global developed markets. The CalPERS Infrastructure Program seeks to provide stable, risk-adjusted returns by investing in public and private infrastructure, primarily within the transportation, power, energy and water sectors.
Infrastructure investments returned 22.8 percent during the 2013–2014 Fiscal Year and 23.3 percent annually over the past five years, outperforming the benchmark by 17.23 percentage points and 16.6 percentage points, respectively.
CalPERS currently holds approximately $1.8 billion in infrastructure assets, with a total of $30 billion in its real assets portfolio.