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CalPERS eyes bigger insurance-linked securities allocation
The pension plan is targeting $100 billion for climate solutions by 2030 and has already begun ILS allocations via three specialized managers.
CalPERS, the California Public Employees' Retirement System, is exploring ways to increase its exposure to insurance-linked securities, an asset class it views as relevant to its climate investing goal, according to a report by Bloomberg.
Bloomberg reports that CalPERS manages about $637 billion in total assets and began allocating to catastrophe bonds and other insurance-linked securities in 2025. The plan aims to invest $100 billion in climate solutions by 2030.
To access the ILS space, CalPERS established three access points through specialist ILS investment managers, including collateralized reinsurance via Integral ILS, catastrophe bonds through Swiss Re Insurance-Linked Strategies, and quota share reinsurance via Tangency Capital, Bloomberg reported.
Bloomberg also said CalPERS allocations across the three managers had approached $2.5 billion at the mid-point of 2026, up by around 70% in the first half of the year. The report cites CalPERS' interview with Peter Cashion, though the provided excerpt does not include additional details from the interview.