Awhile back I wrote about the issues regarding CALPERS and CALSTERS being unable to calculate private equity fees. At the time I stated that it was almost a dereliction of duty that pension funds of this size and supposed sophistication could not address a very simple issue on fees paid.
Unfortunately, it gets worse. This Naked Capitalism blog post details how the head of Calpers Private Equity, at a public investment committee meeting, appears to fail to understand some of the basic structures of the private equity industry. Please click on the link and watch the videos; its quite frankly a train wreck. Please remember, Real Desrochers is responsible for upwards of $40 billion in private equity and venture capital commitments. The pensioners of California deserve better.
By Ashok Parekh