(Bloomberg) -- The California Public Employees’ RetirementSystem, the largest U.S. public pension fund, isratcheting down expected investment gains over the next decade aslow interest rates and a gloomier stock market depress returns.

The $306.2 billion pension fund expects an average return of6.21 percent, which is 90 basis points, or 0.9 percent, less thanthe forecast two years ago, Chief Investment Officer Ted Eliopoulossaid Monday at an investment committee meeting. The forecastcame from consultant Wilshire Associates, which issued a rosierlong-term prediction: a 7.83 percent return over 30 years.

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