Hedge Funds Institutional Investors

CalPERS presses for better terms

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The influential California Public Employees Retirement System is pressing the managers in its $5.9 billion hedge fund portfolio to provide better terms and make other changes to improve their relationships with the pension fund.

In a letter sent to 26 hedge fund managers, CalPERS asked hedge funds to rethink performance and management fees, improve fund disclosure and give investors greater control over their assets.

California is not alone in pushing for more favorable terms for investors. Last year was the worst year for hedge funds on record, with the average hedge fund losing 12%, according the Absolute Return