Shannon Brandao
From the article: "CNBC [excerpt]: The majority of U.S. public #pensions, as well certain #universities and #nonprofit organizations, have committed funds to #China and #HongKong, including in sensitive technologies — some as recently as this year, according to a report by Future Union, a non-partisan #trade organization.
...The data — which was compiled through a combination of public and private databases, including capital markets database Pitchbook, CapitalIQ and Private Equity International — hones in on the U.S.'s biggest pension funds found to be invested in China. However, the report's authors said the number invested is likely to be much larger.
'The 74 are the best exemplars of a long laundry list of U.S. pension funds invested in China,' Andrew King, executive director of Future Union, told CNBC via the phone.
...Of the top 74 pension funds cited in the report, three-quarters made #investments within the last 36 months — the minimum threshold instituted by Future Union to 'obviate claims of plausible deniability' over rising U.S.-China tensions. Four in 10 (39%) committed funds within the past 12 months.
...California and New York funds lead the charge
The New York State Common Retirement Fund (NYSCRF), which serves over 1.2 million public employees, was identified as the largest #investor in China and Hong Kong, according to the report, committing a total of $8.3 billion to the region, including $3.5 billion (42%) in the past 36 months.
...The California Public Employees Retirement System (CaIPERS) — which describes itself as 'the nation's largest public pension fund,' serving more than 2 million of California's public employees — ranked second. The fund has invested an aggregate $7.8 billion in China, a quarter ($1.8 billion) of which was committed over the past three years, including in 2023.
...University endowments invest heavily
The report also found that numerous U.S. universities, both public and private, are significantly invested in China.
University endowments have invested a total of $7.7 billion in China and Hong Kong via 385 investments, many of which within the past 36 months, according to public data analyzed by Future Union. It added that the true value of investments could be greater given the limited disclosure requirements for private higher education institutions.
'The reality is much more objectionable than depicted, as private universities are largely exempt from disclosing investments. Simultaneously, many of the U.S. public universities have shielded such investments from public review and disclosure,' King said.
The University of Michigan, Michigan state's largest public university, was among the most heavily invested in China and Hong Kong, with $1.6 billion in funds committed, including as recently as a few months ago.
The University of Texas System similarly invested $1.6 billion, with around one-quarter allocated in the past three years."
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