Like many other U.S. pension funds, CalPERS is short of cash and estimates it will need an average 6.8 percent annual return over the next 20 years. Otherwise, some retirees could be left in the lurch.
CalPERS hopes that by taking on the additional risk it will be able to hit the target.
NTD spoke with Lance Roberts, chief strategist at RIA Advisors, to discuss CalPERS.
