The California Public Employees' Retirement System will commit up to $1bn (€703m) in Asian real estate with expectations for substantial growth in that sector.

Calpers made a direct investment of $500m in ARA Asset Management, a member of the Cheung Kong Group, an Asian real estate company that invests in the housing, office, retail, industrial and infrastructure sectors. In addition to the $500m investment in ARA, Calpers also has committed another $500m for potential co-investment opportunities with ARA.