CalPERS looking at more rate hikes to guard against losses in the next recession

The San Jose Mercury News reports:

Unless it alters its current funding structure, CalPERS will be even more vulnerable to market losses in the next economic downturn than it was during its devastating plunge in the Great Recession. That's why leaders of the California Public Employees' Retirement System are looking to shift more assets to less-risky investments. But, as they do that, CalPERS will need additional up-front money from state and local governments.

Like changes at the nation's largest pension fund in each of the last three years, this one will also result in future rate hikes for public employers. The good news is that workers' retirement pay will be more secure and taxpayers will experience less cost-shifting to future generations.

The numbers.