The California Public Employees’ Retirement System has agreed to back a new company that will invest in health deals.

CalPERS will supply $500 million for the new company, Health Evolution Management L.L.C., San Francisco, for direct investments, private equity investments and major joint ventures, and it may provide $200 million more for other types of health care investments, according to Health Evolution.

The chairman of Health Evolution, Dr. David Brailer, previously was national coordinator health information technology for the administration of President George W. Bush.

Health Evolution is interested in investing in “companies working in disease management, chronic care improvement and pharmaceutical management, as well as telemedicine, remote and in-home patient monitoring and predictive genomics,” Health Evolution says.