New York State Common Retirement Fund is the third largest pension fund in US with value of $194 billion in assets as of 31 March 2020. The fund has over 3,000 State and local government employers with more than a million members, retirees and beneficiaries in two different systems: Employees' Retirement System (ERS) and Police and Fire Retirement System (PFRS).
Asset owners’ seeking to achieve net zero in their infrastructure allocations should embark on detailed strategic planning, set interim targets and ensure transparent insight and regular reporting. Strong leadership and clear governance frameworks are also essential - all the while fulfilling fiduciary responsibility to seek superior long-term returns.
Five years on since the SDGs were launched, an increasing number of investors are putting capital to work to earn returns alongside helping solve global scourges like the climate crisis, poverty and inequality. Sarah Rundell looks at New York Common Fund and Denmark's PKA among others.
The New York State Common Decarbonization Advisory Panel, set up to advise the Comptroller, as trustee of the $209.1 billion New York State Common Retirement Fund, on how best to mitigate investment risks stemming from climate change and maximise opportunities from the new, low-carbon economy, has handed down its report this week. It has clear lessons for all asset owners.