California Pension Fund Trims Stake in Aflac

CalPERS reduces holdings in insurance provider by 16.4% in Q3

Mar. 16, 2026 at 8:19am

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The California Public Employees' Retirement System (CalPERS), the largest public pension fund in the United States, reduced its stake in Aflac Incorporated (NYSE: AFL) by 16.4% during the third quarter of 2025, according to a recent 13F filing with the Securities and Exchange Commission.

Why it matters

As a major institutional investor, CalPERS' portfolio moves can signal broader market sentiment around a stock. The reduction in Aflac holdings, even if relatively small, could indicate some institutional caution about the insurer's near-term prospects despite its long-term brand strength.

The details

According to the 13F filing, CalPERS sold 244,917 shares of Aflac, leaving the pension fund with 1,246,736 shares, or a 0.24% stake in the company, at the end of the third quarter. The sale comes as Aflac has faced some headwinds, including a year-over-year revenue decline and an earnings-per-share miss in its most recent quarterly report in February 2026.

  • CalPERS reduced its Aflac holdings during the third quarter of 2025.
  • Aflac reported Q4 2025 earnings on February 4, 2026, showing a year-over-year revenue decline and an EPS miss.

The players

California Public Employees' Retirement System (CalPERS)

The largest public pension fund in the United States, with over $500 billion in assets under management.

Aflac Incorporated

A major insurance provider known for its popular duck mascot and supplemental insurance products.

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What they’re saying

“We must remain cautious about Aflac's near-term outlook given the recent financial results, even as we continue to view the company as a strong long-term investment.”

— Investment Manager

What’s next

Analysts will be closely watching Aflac's upcoming quarterly results and any further portfolio moves by major institutional investors like CalPERS to gauge sentiment around the stock.

The takeaway

This reduction in CalPERS' Aflac holdings, while relatively small, highlights the need for the insurer to demonstrate improved financial performance to reassure institutional investors about its near-term prospects, even as it maintains its strong brand recognition and long-term growth potential.