Generally, we support engagement over divestment. But we believe that the trustees can justify this decision in terms of financial risk and return.
Top financial officials with the University of California announced Tuesday morning in an opinion article in the Los Angeles Times that the school system plans to undertake a major divestment from fossil fuels.
The stocks and bonds to be sold off are currently part of UC’s $13.4 billion endowment and $70 billion pension fund.
The article — penned by Jagdeep Singh Bachher, UC’s chief investment officer and treasurer and Richard Sherman, chairman of the UC Board of Regents’ Investments Committee — comes after faculty across the 10-campus system held a historic vote in July to demand divestment of the endowment.
