麻豆影视

Business

    • Russia divestment promises by U.S. states largely unfulfilled

    Share

    Driven by moral outrage over Russia's invasion of Ukraine earlier this year, U.S. governors and other top state officials made it clear: They wanted to cut their financial ties with Russia.

    A few states quickly followed through. Idaho sold US$300,000 of bonds in a Russian oil company in early March. A day before the invasion, the Kentucky Teachers Retirement System sold its shares in the Russian bank Sberbank.

    But those examples are outliers. Six months into a war that has killed thousands of Ukrainians and displaced over 12 million more, most of the pledges to drop Russian investments -- some made with great fanfare during news conferences -- have gone unfulfilled, according to an Associated Press review, state retirement administrators and firms that invest state funds.

    Swift global reaction has cut off much of Russia's economy from the rest of the world. That has made it nearly impossible for divestment by state pension funds, university endowments and other public-sector holdings -- as well as private investments such as those in 401(k) accounts.

    "These pension funds want to get out, but it's just not realistic to sell everything in the current environment," said Keith Brainard, research director at the National Association of State Retirement Administrators.

    Benjamin Smith, a spokesperson for the Rhode Island treasury, said the factors that make it hard to divest also show that a worldwide effort to isolate Russian President Vladimir Putin is working.

    "This is good news because it means that pressure from investors across the world, including Rhode Island, is succeeding in exacting a toll on the Russian economy, making it more difficult for Putin to fund his military operation, state-owned companies, and corrupt network of oligarchs," he said in an email, noting that Rhode Island's pension plan exposure in Russia never exceeded 0.3% of its assets.

    Any pre-war investments in Russia are now worthless, or nearly so. That's raising questions from some officials and fund managers about whether divesting is even necessary.

    In Hawaii, one of a handful of states where top administration officials did not pledge to divest, Gov. David Ige said at a May 5 news conference that the state's employee pension system had "very little to almost nothing" invested in Russia.

    "The few remaining investments are quite small, and so I didn't feel compelled to just make a statement for political reasons that we would be divesting," he said.

    Before Russia's invasion in late February, many government-controlled investments had only small holdings -- a fraction of 1% in every reported case -- in Russian investments. But even that could amount to millions of dollars.

    The largest U.S. public-sector retirement fund, California's CalPERS, said just 17 cents of every US$100 of its portfolio was in Russian investments as the war broke out. Even so, that translated into $765 million worth of stocks, real estate and private equity.

    By the end of June, the value had shrunk to $194 million. The entire loss was because the holdings dropped in value; none had been sold.

    There is no way to know how much state government entities in the U.S. have invested in Russia or companies based there, but collectively they were worth billions of dollars before the war. Much of the money was invested in Russian government bonds, oil and coal companies as part of emerging-markets index funds.

    Quick to condemn the invasion, state officials said they could put pressure on Putin by dumping their Russian investments.

    "Our moral imperative before these atrocities demand that you act to address Russia's aggressions and immediately restrict Russian access to California's capital and investments," California Gov. Gavin Newsom wrote in a letter Feb. 28 to the boards overseeing the massive pension funds that serve teachers, state and local government workers and university employees.

    Across the country, governors and other top officials made similar statements.

    Just after the invasion began, New York Gov. Kathy Hochul signed an executive order calling for divestment "to the extent possible," while Arizona's Board of Regents voted to exit any Russian investments.

    The treasurers for 36 states plus the District of Columbia and U.S. Virgin Islands signed a joint letter in March advocating divestment of publicly controlled funds from Russia. They noted a financial reason for doing so: "The current crisis also constitutes a substantial risk for states' investments and our economic security."

    A major chunk of the government holdings in Russia are in the form of index funds that investors use to mimic overall stock market performance. Russian stocks were commonly part of funds specializing in emerging markets. MCSI and other firms that decide which stocks should be in the funds quickly dropped Russian securities.

    But the companies that sell investment products based on those indexes were left in the lurch, still leaving pieces of Russian stocks in their investors' portfolios.

    As part of the sanctions, stock markets in the U.S. and elsewhere stopped the trading of Russian stocks. And the Moscow Stock Exchange was closed for nearly a month, reopening with tight controls that keep U.S. investors from selling.

    The assets sank in value amid the invasion, though the precise value isn't always clear.

    Maryland said that as of the beginning of February, $197 million of its state retirement and pension system funds were invested in Russian assets. A month later, the state estimated the value had plunged and amounted to just $32 million. The state has been unable to unload its investments.

    For the handful of states in which top officials have not endorsed divestment, eroding values like that are a main reason.

    Shortly after the invasion, South Carolina Gov. Henry McMaster said the amount of state investments in Russia was "miniscule" and noted that the value was about to "shrink to almost nothing as the Russian economy is being virtually shut off from the world."

    In Florida, Lamar Taylor, the interim executive director of the agency that oversees investments of pension funds, said during a cabinet meeting that some investment managers might seek to unload Russian assets as soon as they're able, while others could hold on in case they're worth more later.

    At the meeting, Gov. Ron DeSantis said the State Board of Administration has a legal responsibility to try to make money for the retirement system.

    "That would violate your fiduciary duty, if you liquidated at massive losses for political reasons rather than for the best interests of the beneficiaries," he said.

    But DeSantis said there was a way to make it easier: Lawmakers passing a bill banning investment in Russia.

    "If the Legislature could speak clearly, that would be something we'd welcome here, just to make sure we're not furthering investments in parts of the world that are not reflective of our interests or values," he said.

    Hank Kim, executive director of the National Conference on Public Employee Retirement Systems, said he has told member pension funds that taking steps to divest is important even if it can't be completed right away.

    "The public has a right to know that it was debated in a serious manner," he said.

    ------

    Mulvihill reported from Cherry Hill, New Jersey. Associated Press writers Kimberly Chandler in Montgomery, Alabama; Amy B. Hanson in Helena, Montana; Kimberlee Kruesi in Nashville, Tennessee; and Audrey McAvoy in Honolulu contributed to this report

    CTVNews.ca Top Stories

    Why brain aging can vary dramatically between people

    Researchers are uncovering deeper insights into how the human brain ages and what factors may be tied to healthier cognitive aging, including exercising, avoiding tobacco, speaking a second language or even playing a musical instrument.

    The union representing some 1,200 dockworkers at the Port of Montreal has overwhelmingly rejected a deal with their employers association.

    Canada

    • The union representing some 1,200 dockworkers at the Port of Montreal has overwhelmingly rejected a deal with their employers association.

    • A man who was critically injured in a police-involved shooting in Hamilton late Sunday afternoon has died in hospital, says the province鈥檚 police watchdog.

    • A Cape Breton senior recalls her life in German-occupied France, and her mother鈥檚 death, during the Second World War.

    World

    Politics

    • Murray Sinclair鈥檚 family members say the late justice and senator has been laid to rest according to his wishes.

    • Prime Minister Justin Trudeau announced voters in Cloverdale鈥擫angley City will pick their next member of Parliament on Dec. 16.

    Health

    Sci-Tech

    Entertainment

    Business

    Lifestyle

    Sports

    Autos

    Local Spotlight

    For the second year in a row, the 鈥楪ift-a-Family鈥 campaign is hoping to make the holidays happier for children and families in need throughout Barrie.

    Some of the most prolific photographers behind CTV Skywatch Pics of the Day use the medium for fun, therapy, and connection.

    A young family from Codroy Valley, N.L., is happy to be on land and resting with their newborn daughter, Miley, after an overwhelming, yet exciting experience at sea.

    As Connor Nijsse prepared to remove some old drywall during his garage renovation, he feared the worst.

    A group of women in Chester, N.S., has been busy on the weekends making quilts 鈥 not for themselves, but for those in need.

    A Vancouver artist whose streetside singing led to a chance encounter with one of the world's biggest musicians is encouraging aspiring performers to try their hand at busking.

    Ten-thousand hand-knit poppies were taken from the Sanctuary Arts Centre and displayed on the fence surrounding the Dartmouth Cenotaph on Monday.

    A Vancouver man is saying goodbye to his nine-to-five and embarking on a road trip from the Canadian Arctic to Antarctica.

    • Weather watchers were treated to an exceptionally rare display on Friday evening as rare cloud formations filled Vancouver skies.

    • For some shoppers it was Nov. 1, but for others the first hints of Christmas - saccharine treats, festive-fragranced candles and gaudily wrapped gift sets - were being noticed in stores long before the final Halloween decor had been cleared.

    • Thousands of people are expected to gather in downtown Vancouver on Monday to observe the city鈥檚 100th Remembrance Day ceremony.

    • Toronto is expected to see an economic boost to the tune of nearly $300 million thanks to Taylor Swift鈥檚 upcoming Eras Tour, which will be making a stop in Canada鈥檚 largest city for a six-show run later this month.

    • One man was transported to hospital early Monday morning after a stabbing in the northwest end of the city, Toronto police say.

    • Calgarians will be observing Remembrance Day at a number of different ceremonies across the city, including at the Hangar Flight Museum.

    • A home in the northeast Calgary community of Saddle Ridge was damaged in a fire on Sunday.

    • WEATHER

      WEATHER

      Conditions were warm early Monday and expected to remain that way for most of the day.

    • CTVNewsOttawa.ca looks at Remembrance Day ceremonies in Ottawa.

    • After months of controversy surrounding a dog park in Ottawa's west end, a solution has been reached to divide the park in half.

    • The employers association at the Port of Montreal locked out nearly 1,200 longshore workers, bringing a halt to traffic at the port.

    • An elementary school in Greenfield Park on Montreal鈥檚 South Shore is closed after it was the target of an alleged arson attack.

    • Though most businesses are expected to be open on Remembrance Day, there are some establishments that will be closed to commemorate the holiday.

    • Monday is Remembrance Day, a time to honour armed forces members who have died in the line of duty.

    • Boasting 2,300 square metres of skating space at its new location, Edmonton's Rollers Roller Rink believes it is the largest in Canada.

    • WATCH LIVE

      WATCH LIVE

      Maritimers will stop Monday to remember those who have served, and continue to serve, in Canada's armed forces for Remembrance Day.

    • A Cape Breton senior recalls her life in German-occupied France, and her mother鈥檚 death, during the Second World War.

    • A pillar in Canada鈥檚 history was honoured in Winnipeg Sunday afternoon, with thousands showing up to pay tribute to the life and legacy of the late Murray Sinclair.

    • Winnipeg police have identified two men involved in a stabbing incident earlier this week.

    • There will be two ceremonies taking place in Regina for Remembrance Day, hosted by the Royal Canadian Legion.

    • Regina author Valerie Crowther is celebrating the release of her book 鈥榃ar Letters: Linking Lives in the Second World War.鈥

    • It was a somber day at Mosaic Stadium as members of the Saskatchewan Roughriders officially cleaned out their stalls and closed the book on the 2024 season.

    • A man has been charged after a stabbing at an apartment building in Kitchener.

    • The Guelph Police Service is putting out a warning after two deaths in the downtown area.

    • Two new tributes to Canada鈥檚 veterans have been unveiled at the Elmira Cenotaph.

    • Saskatchewan RCMP are searching for a suspect after a man was seriously injured in a farm-related incident in Montreal Lake.

    • It was a somber day at Mosaic Stadium as members of the Saskatchewan Roughriders officially cleaned out their stalls and closed the book on the 2024 season.

    • The Regina Rams claimed the Hardy Cup after a hard fought battle against the Saskatoon Huskies 19-14 on Saturday in the first all Saskatchewan U-Sports western conference final since 2002.

    • Emergency crews responded to the scene on Road 68/Highway 2 east of Thamesford around 7 p.m.

    • On Friday, the Sarnia Police Service (SPS) received a report of an alleged abduction in the area of Kathleen Avenue and Walnut Avenue.

    • 11 AM:WATCH LIVE

      11 AM:WATCH LIVE

      The events will start at 10:15 a.m. with a parade that forms up in front of the Delta London Armories, marches east on Dundas Street and turns north onto Waterloo Street to Dufferin Avenue, the west to the Cenotaph.

    • A group of former NHL players faced off against York Regional Police officers in Newmarket Sunday afternoon to raise funds for Special Olympics programs across the province.

    • A driver is facing multiple charges after a multi-vehicle collision on Highway 400 early Sunday morning.

    • The agreed statement of facts was read to the court on Friday in the case of Alex Williams, the 24-year-old jail guard charged last fall with smuggling cannabis and tobacco into Central North Correctional Centre in Penetanguishene.

    • 11 AM:WATCH LIVE

      11 AM:WATCH LIVE

      Representatives of the Windsor Veterans Memorial Services Committee, military representatives, wreath bearers, government officials, and members of the public will attend the Cenotaph at City Hall Square for the outdoor service.

    • One person has been arrested after Chatham-Kent Police Service (CKPS) received multiple complaints about an alleged drunk driver.

    • More details have been released about a police investigation at the Ambassador Bridge that connects Windsor, Ont. and Detroit, MI.

    • Environment Canada says heavy rain and winds could cause power outages on Vancouver Island as an "intense" storm system is set to hit the B.C. coast Sunday.

    • Six deer were struck by vehicles in six different locations in a six-hour period on B.C. highways on Saturday, according to the transportation ministry.

    • The union for locked-out port workers in British Columbia says the BC Maritime Employers Association cut off talks in less than an hour Saturday, refusing to budge on a final offer that the union has so far rejected.

    • The emergency department at South Okanagan General Hospital in Oliver, B.C., will be closed for 31 hours this weekend, the second such closure in a week and the third since the start of November.

    • Police in Kamloops, B.C., are reminding parents and guardians to check their children's Halloween candy after receiving a report of a mother finding a razor blade in one of her daughter's treats.

    • More than two years after Alannah Brown and Douglas Barker were found dead north of Penticton, police are asking for help identifying a vehicle they believe was associated with the crime.

    • The Southern Alberta Recreation Association is officially announcing the Town of Taber as next year鈥檚 host for the Southern Alberta Summer Games.

    • The Lethbridge Hurricanes broke open a close game with three goals in the first two minutes of the third period as they defeated the Warriors 7-3 in a game played Friday night in Moose Jaw.

    • There might not a lot snow just yet, but many southern Albertans are still itching to get outdoors.

    • It was just days before the COVID-19 pandemic shut the world down when the Shaft Bottom Boys of Sudbury broke a world record for 'Deepest Concert Underground.' Now, more than four years later, a Timmins band is looking to take the title.

    • Police have arrested a 15-year-old in connection with a break-in and $50,000 in damage done to the Centennial Arena in Elliot Lake in September.

    • Mayors of the five largest cities in northern Ontario met in North Bay the last two days to discuss a range of critical issues impacting their cities and the region.

    N.L.

    Shopping Trends

    The Shopping Trends team is independent of the journalists at 麻豆影视. We may earn a commission when you use our links to shop.聽Read about us.

    Stay Connected
    Follow 麻豆影视