CalPERS Goes Live With Total Portfolio Approach: AlternativeSoft Publishes Analysis for Allocators

CHICAGO - July 8, 2026 - PRLog -- AlternativeSoft, the institutional investment analytics platform trusted by 150+ institutions managing over $1.5 trillion, has published an analysis examining the California Public Employees' Retirement System's transition to a total portfolio approach and its implications for institutional allocators globally.

On 1 July 2026, CalPERS became the first US public pension fund to replace the strategic asset allocation model with a total portfolio approach, applying the new framework to its $625.7 billion portfolio. Under TPA, investment decisions are assessed by their contribution to the entire portfolio rather than by individual asset class targets, measured against a 75/25 equity-bonds reference portfolio with a 400 basis point active risk limit.

A March 2025 study of 26 large funds employing TPA, cited in CalPERS board materials, found their investments outperformed those using the strategic asset allocation model by 1.3% per year over a ten-year period. The approach is already used by Singapore's GIC, Denmark's ATP, Australia's Future Fund, CPP Investments and Ontario Teachers' Pension Plan.

The AlternativeSoft analysis examines why the strategic asset allocation framework that shaped institutional investing for five decades is being re-evaluated, the five analytical capabilities any institution needs to run a total portfolio approach, and how hybrid TPA frameworks make whole-portfolio investing accessible to mid-sized pension funds, endowments and family offices without the internal infrastructure of a mega-fund.

The analysis identifies unified data across public and private assets as the foundational requirement, alongside factor-level attribution, a defined reference portfolio, whole-portfolio scenario stress testing, and governance frameworks that support dynamic allocation.

AlternativeSoft provides institutional allocators with these capabilities across 500,000+ funds in a single cloud platform, and has received the Hedgeweek Award for Best Risk Management for four consecutive years.

Full analysis: http://www.alternativesoft.com/tpa-end-of-silo-2026.html (http://www.alternativesoft.com/tpa-end-of-silo-2026.html%60)