CalPERS Investments in Climate Solutions Near $60 Billion

November 7, 2025

Communications & Stakeholder Relations
Office of Public Affairs
(916) 795-3991 - [email protected]

Sacramento, Calif. - CalPERS announced today that its investments in climate solutions had grown to nearly 60 billion as of June 30, 2025, a number that represents significant progress toward meeting the $100-billion goal identified in the pension fund's Climate Action Plan.

Launched in November 2023, The Climate Action Plan lays out a global strategy to generate strong performance on behalf of CalPERS' members by investing in opportunities created by the global shift to a low-carbon economy. The strategy also seeks to manage climate-related financial risks by investing in activities that improve energy efficiency, support adaptation and resilience and reduce real-world greenhouse gas emissions.

The $59.7 billion in climate solutions investments in CalPERS' portfolio today represents an increase from $47 billion in November 2023. The increase includes both investment appreciation and new dedicated investments in climate solutions.

"In just two years, CalPERS has seen significant growth in its Climate Action Plan, growth that is driven by the energy transition," said CalPERS Chief Executive Officer Marcie Frost. "Climate is a key mega-trend and CalPERS is committed to leading the way and finding the best investments on behalf of our members."

In the private markets area, CalPERS has made investment commitments in 13 climate-focused funds covering such industries as renewable energy, energy optimization software, drought resistant crops, wildfire fire suppression, electric vehicle charging networks, reusable packaging containers, and battery storage.

Some of the funds that CalPERS has invested in since June 2024 include TPG Rise Climate (private equity and infrastructure funds), West Street Climate Credit (Del) LP, Generation IM Sustainable Private Equity Fund II (A), B Capital Climate Fund I, LP, Copenhagen Infrastructure Partners V USD Feeder SCSp, Brookfield Global Transition Fund II-B, LP, and others.

Overall, the largest contributors to climate solution investments are real estate and public equity.

"The opportunities before us cut across all industries and sectors, and we believe that sound, long-term commitment to climate solutions will deliver results for our members," said CalPERS Chief Investment Officer Stephen Gilmore. "The global demand for energy will continue to grow and CalPERS is providing the capital necessary to meet the needs that the world will have to power homes, cars and technology, such as artificial intelligence."

CalPERS earned 11.6% on its investments in the most recent fiscal year. The estimated funded status had increased to 82% as of September 30, 2025.

About CalPERS

For more than nine decades, CalPERS has built retirement and health security for state, school, and public agency members who invest their life's work in public service. Our pension fund serves more than 2 million members in the CalPERS retirement system, making us the largest defined-benefit public pension in the nation. We also administer health benefits for more than 1.5 million members and their families, making CalPERS the nation's largest purchaser of public employee health services behind the U.S. government.