Michigan Investment Board to sell state pension funds to Russian companies

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The Michigan Investment Board announced on Wednesday that it had unanimously approved moves to divest all state-owned assets in Russian and Belarusian businesses, following the invasion of Ukraine that sparked a wave of anger and condemnation towards President Vladimir Putin.

According to the Treasury Department, the state will withdraw investments in institutions and organizations “when market conditions permit.”

The affected investments include a portion of Michigan’s pension plans – about 0.06% of the portfolio, which exceeds $98 billion.

“Today the board of directors decided that this action was more than the right thing to do,” said state treasurer Rachael Eubanks, who is chair of the Investment Board of the State. State of Michigan. “We have instructed the investment team to begin the divestment process. Any state assets that could be used to support and prolong Russia’s war against Ukraine defeats the purpose. to provide benefits to persons who devote their working lives to public service.”

Last week, Governor Gretchen Whitmer sent a March 1 letter urging the board to disengage from Russia, following the country’s unprovoked war in Ukraine.

CONTINUED: Russia now has the most sanctions of any country in the world

Michigan State Retirement Services (SMRS) retirement plans provide benefits to active and retired employees. None of the money from this plan is held in Belarusian assets.

According to the Treasury Department, the plan is run by outside investment dealers and sits in “low-cost international stock index funds.”

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