Arizona’s Pension Board goes anti-ESG (2022)
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On August 30, 2022, the Arizona State Pension Board altered its rules to deter the use of non-pecuniary factors in state pension investments, updating its policies to prevent the adoption of ESG or related investment strategies:[1]
"Arizona State Board of Investment, Phoenix, has adopted anti-ESG revisions to its investment policy that specify that only 'pecuniary factors' may be considered in the investment management of its asset pools.
"The board approved the revisions at its meeting on Tuesday, according to a news release from Arizona Treasurer Kimberly Yee, whose office oversees the board.
"The investment policy now specifies that 'non-pecuniary factors may not be considered,' and that includes any agreements related to 'environmental or social goals' or 'corporate governance structures based on social characteristics.'
"Ms. Yee said in the news release the adoption of the policy revisions is a reaction to 'big government overreach to manipulate the private sector and force its hand in the business of picking winners and losers, based on radical ESG policies.'
"The board oversees the Arizona state treasurer's office investment pools, which includes the $7.1 billion Permanent Land Endowment Trust Fund. The endowment fund has a target allocation of 60% domestic equities and 40% domestic fixed income.”
See also
- Environmental, social, and corporate governance (ESG)
- Economy and Society: Ballotpedia's ESG newsletter
External links
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