Features

SACRAMENTO — The nation’s largest pension fund adopted procedures Monday designed to root out conflicts of interest among its money managers and investment bankers. 

The California Public Employees Retirement System approved rules requiring greater disclosure about how money managers, brokers and bankers are compensated, sever the link between analysts’ pay and investment banking and establish a monitoring process. 

“Weak corporate governance and fraudulent financial reporting practices have caused investors around the globe to lose confidence in the market. People now question the basic integrity of many corporate leaders,” said William Crist, CalPERS board president. “Everyone must do their part — including CalPERS own money managers and investment banks — to help restore integrity in our markets and help protect our pensioners.”