Tuesday, April 04, 2006
Infrastructure, Infrastructure, Infrastructure
Phil got some nice free press today about his brilliant infrastructure plan. I say "brilliant" because it's the kind of outside-the-box thinking that we like here In-the-Box. It's novel, and it's not the kind of thing we're used to seeing in California politics.
What is it you ask?
Phil's proposing that CalPERS and CalSTRS, the state's two giant pension funds, invest up to $15 billion (or about 5%) of their funds in California infrastructure projects, as a complement to whatever kind of infrastructure bond plan that the Legislature comes up with.
It's estimated that the pension funds could get a 6-8% return on their investment, making it sound for pensioners too. It's probably not the best return that they could get, but as any sound investor knows, you need a diverse portfolio. This could be a nice little conservative investment that makes up a diverse and stable portfolio.
What is it you ask?
Phil's proposing that CalPERS and CalSTRS, the state's two giant pension funds, invest up to $15 billion (or about 5%) of their funds in California infrastructure projects, as a complement to whatever kind of infrastructure bond plan that the Legislature comes up with.
It's estimated that the pension funds could get a 6-8% return on their investment, making it sound for pensioners too. It's probably not the best return that they could get, but as any sound investor knows, you need a diverse portfolio. This could be a nice little conservative investment that makes up a diverse and stable portfolio.
# posted by Eli Jacks @ 9:29 PM 
