New York Pension Fund Commits $2.4 Billion to Climate Investments

The New York State Common Retirement Fund has committed an additional $2.4 billion to climate-focused investments, bringing its total Sustainable Investments and Climate Solutions (SICS) Program commitments to $26.5 billion, with a target of $40 billion by 2035. Key allocations include $2 billion to the FTSE Russell TPI 1000 Climate Transition Index, $250 million to Oaktree Power Opportunities Fund VII for renewable energy and infrastructure, and $150 million to Vision Ridge Partners Sustainable Asset Fund IV, supporting climate adaptation projects in North America. As part of its annual review, the fund will divest $31 million from eight fossil fuel companies not prepared for a low-carbon transition, adding them to its restricted list, which now covers 39 companies tied to coal, oil sands, and shale oil and gas. State Comptroller Thomas DiNapoli emphasized these actions are intended to reduce climate-related risks and seize opportunities as the world transitions to a low-carbon economy. The SICS investments span public equity, fixed income, private equity, credit, and real assets, supporting over one million members and retirees. The pension fund's efforts align with its broader goal of achieving a net-zero greenhouse gas emissions portfolio by 2040.