The California Public Employees’ Retirement System (CalPERS), with a $532 billion portfolio, emphasizes secondaries investments as crucial for enhancing private equity returns. According to Anton Orlich, managing investment director, these strategies provide unique benefits such as reduced unfunded commitments. Established in 2022, CalPERS has been active in the secondaries market as both a buyer and seller, focusing on portfolio optimization rather than a negative outlook on private equity. Orlich’s team has developed a pricing strategy for potential sales, allowing them to take on more concentration risk and remain selective in their purchases. Other large LPs are also expected to engage more in the secondaries market.