CalPERS Cuts Magnificent Seven Holdings by 26% in First Half, Pivoting to Private Equity
SACRAMENTO — The California Public Employees' Retirement System (CalPERS), the largest public pension fund in the United States, cut its direct holdings across the Magnificent Seven tech stocks by 26% in the first half of 2026, trading concentrated exposure to seven companies for stakes in several hundred firms and shifting toward private equity, the Financial Times reported on October 23.
Deputy Chief Investment Officer Anton Orlich told the Financial Times in an interview that the fund had "traded large exposure to seven companies for several hundred firms to diversify equity risk." According to the FT's calculations based on regulatory filings, the reduction covered Apple, Microsoft, Alphabet, Amazon, Nvidia, Meta and Tesla. CalPERS' assets totaled $637.1 billion as of June 30.
Orlich said valuations in public equity markets were high and concentrated in a few stocks that could underperform, while private companies' pricing was more attractive and could help protect CalPERS if public markets eventually fell. The pivot by the giant institutional investor is being read as a landmark signal amid the raging debate over an "AI bubble" fueled by the artificial-intelligence spending boom. (GSM, from Financial Times reporting via Seeking Alpha and others)
Source: GSM · USA (original Chinese edition)
Photo: 加州议会大厦（萨克拉门托，资料图）。照片：Andre m，CC BY-SA 3.0，经 Wikimedia Commons。 / California State Capitol, Sacramento (file photo). Photo: Andre m, CC BY-SA 3.0, via Wikimedia Commons.
