Michael W. Frerichs – Illinois State Treasurer: Raising The Bar on Investing

Illinois state treasurer Michael W. Frerichs is one of the most respected public pension fund fiduciaries in the country and we were delighted to see his thoughtful comments on ESG as an essential element in minimizing investment risk. Making Prudent Choices.  Investing means making choices.  For the investment officers at the Illinois State Treasurer’s Office,…

Public funds taking the lead in spectacular boom of ESG

Another possible factor in the Business Roundtable’s new commitment to stakeholders — greenwashing. Double- and even triple-digit growth in the amount of U.S. institutional assets in ESG investments shows no sign of slowing down, and public pension funds are leading the way. Sustainable, responsible and impact investing assets reached $12 trillion in early 2018, according…

Political Representation and Governance: Evidence from the Investment Decisions of Public Pension Funds – ANDONOV – 2018 – The Journal of Finance – Wiley Online Library

Representation on pension fund boards by state officials—often determined by statute decades past—is negatively related to the performance of private equity investments made by the pension fund, despite state officials’ relatively strong financial education and experience. Their underperformance appears to be partly driven by poor investment decisions consistent with political expediency, and is also positively…

David Webber on Employee-Funded Capitalism: “Labor’s Last Best Weapon”

In the subtitle of his highly recommended new book, The Rise of the Working-Class Shareholder, David Webber calls employee pension funds “Labor’s Last Best Weapon.” He says that working-class employees could be a powerful force for sustainable economic growth through their pension funds. In an interview, Webber talked about the opportunities and challenges in making the…