By Iliya Atanosov, includes “With much fanfare, the Office of New York State Comptroller Thomas DiNapoli announced last month a “strategic partnership” between the Common Retirement Fund (CRF) and Goldman Sachs Asset Management (GSAM) to invest $2 billion in global equity strategies. The CRF manages the assets of the New York State and Local Retirement System (NYSLRS) – some $181 billion in total. New York State pensions, including the separate Teachers’ Retirement System (NYSTRS), are unusual among US public pension plans in that they are fairly well funded because union litigation has previously prevented Albany from scrimping on required contributions. The CRF itself is also unusual in that it is under the unilateral control of the state comptroller, an independently-elected office that has sometimes been credited with keeping the system in good shape. But the lack of transparency in portfolio management and the conspicuous absence of a board of trustees overseeing the investment process is troubling, if not perilous. Matthew Sweeney, a spokesman for the comptroller’s office, answered some of a dozen questions about the GSAM deal. Here are a few of those he did not comment on, completely unedited: …”By Iliya Atanosov, includes “With much fanfare, the Office of New York State Comptroller Thomas DiNapoli announced last month a “strategic partnership” between the Common Retirement Fund (CRF) and Goldman Sachs Asset Management (GSAM) to invest $2 billion in global equity strategies. The CRF manages the assets of the New York State and Local Retirement System (NYSLRS) – some $181 billion in total. New York State pensions, including the separate Teachers’ Retirement System (NYSTRS), are unusual among US public pension plans in that they are fairly well funded because union litigation has previously prevented Albany from scrimping on required contributions. The CRF itself is also unusual in that it is under the unilateral control of the state comptroller, an independently-elected office that has sometimes been credited with keeping the system in good shape. But the lack of transparency in portfolio management and the conspicuous absence of a board of trustees overseeing the investment process is troubling, if not perilous. Matthew Sweeney, a spokesman for the comptroller’s office, answered some of a dozen questions about the GSAM deal. Here are a few of those he did not comment on, completely unedited: …”
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