The CalPERS Board met Tuesday, June 20, through Thursday, June 22, in person at our Sacramento Headquarters.
A recording of all the public meetings is posted on the CalPERS YouTube channel. Here are some highlights from this month’s meetings.
Tuesday’s Meeting
Investment Office 2022-23 Strategic Initiatives Update
The Investment Committee heard an update on the Investment Office’s 2022-23 business plan and the strategic initiatives and accomplishments. The Investment Office’s 2022-23 roadmap outlines five areas of focus: goals and purpose, nine strategic initiatives, leadership and collaboration, demonstrated abilities, and outcomes and lessons learned.
For more information, view the agenda (PDF) and the presentation (PDF).
Quarterly Chief Investment Officer Report
The committee also received an update on the economic conditions and commentary on performance and risk positioning across CalPERS funds. The presentation highlighted recent developments and what’s ahead in the economy and markets. It also provided key metrics about the Public Employees’ Retirement Fund (PERF).
For more information, view the agenda (PDF), the presentation (PDF), and the Trust Level Report Interim Quarter June 2023 (PDF).
Current Trends in Investing and Sustainability
The committee heard a presentation between Nicole Musicco, CalPERS Chief Investment Officer, and international finance leader Mark Carney, Vice Chair of Brookfield Asset Management and Head of Transition Investing. Musicco moderated a discussion about current developments in the marketplace with the implication for CalPERS returns. The discussion centered around Carney’s expertise in managing climate risk and moving toward sustainable investments over the coming years.
For more information, view the agenda (PDF) and Mark Carney’s bio (PDF).
Wednesday’s Meeting
Semi-Annual Health Plan Financial Report
The Finance and Administration Committee heard an update on the financial status of the four Preferred Provider Organization (PPO) health plans and the ten Health Maintenance Organization (HMO) health plans as of December 31, 2022. As part of the monitoring and reporting process, CalPERS reports the Health Care Fund account balances, the PPO plans’ actuarial reserve amounts, and any surpluses or deficits for each health plan’s subaccount to the Finance and Administration Committee semi-annually. Fully insured plans and association plans are not included in this report.
For more information, check out the agenda (PDF) and the presentation (PDF). Also available to view are the Health Care Fund Status for the HMOs (PDF) and the Health Care Fund Status for the PPOs (PDF).
Preliminary 2024 HMO and PPO Plan Premiums
The Pension and Health Benefits Committee received an update on the rate development process and the 2024 preliminary premiums for CalPERS health plans. While the numbers are not finalized, they provide an important gauge for health care costs and the potential impact on employees and budgets. Also factored into preliminary premiums are the health program changes for 2024, including health plan exits, service area changes, and benefit design changes for next year. The Board will approve the final 2024 health premiums at its July 2023 Offsite.
To learn more, read the agenda (PDF) or the presentation (PDF). Also available to view are the state HMO and PPO Health Premiums (PDF), the regional HMO Premiums (PDF) and PPO Premiums (PDF) for health public agency and school employers.
Next Board Meeting
The board will meet offsite July 17-19, 2023. View the Board Meetings Calendar for the full schedule.