Calpers Weighs a $53-Billion Increase in Climate Investments
- Fund seeks to balance returns with harder line on polluters
- Lawmakers have been debating cuts to oil and gas holdings
The proposed policies at Calpers will support climate goals while meeting obligations to maximize returns for pensioners.
Photographer: Ken James/BloombergThis article is for subscribers only.
The largest US pension fund is considering a $53 billion increase in its climate-related investments by 2030 along with new guidelines for exiting or reducing its holdings in polluters.
The climate push would roughly double the fund’s exposure to areas such as wind, solar and carbon capture, bringing the total to $100 billion, according to a policy proposal published Friday by the California Public Employees’ Retirement System. The divestment rules would be aimed at assets that pose a fiduciary risk because they “fail to present a credible net zero plan” for emissions.