The New York State Common Retirement Fund is increasing its stake in climate-conscious investments, allocating an additional $2 billion to the FTSE Russell TPI Climate Transition Index fund. The move forms part of the $273.4 billion fund’s broader strategy to achieve a net-zero greenhouse gas emissions portfolio by 2040, according to State Comptroller Thomas DiNapoli.
This latest commitment builds upon a 2021 investment of $2 billion in the same index fund, which evaluates companies based on criteria such as carbon emissions, fossil fuel reserves, and green revenue exposure. In total, the fund has now invested $26.5 billion in climate-related index funds, green bonds, and renewable energy-focused assets, with a long-term target of $40 billion.
The FTSE Russell TPI fund returned nearly 28% in the fiscal year ending March 2024, slightly trailing the 30% gain posted by the Russell 1000 Index, the pension’s annual report shows. Returns for the most recent fiscal year have yet to be published.
Alongside the expanded index fund investment, the New York pension has also committed $250 million to Oaktree Capital Management’s Power Opportunities Fund VII and $150 million to Vision Ridge Partners’ Sustainable Asset Fund IV—both focused on sustainable infrastructure and energy transition opportunities.
These developments come as President Donald Trump’s administration moves to re-evaluate hundreds of clean energy and offshore wind project awards issued under President Joe Biden. The review reflects a renewed policy emphasis on oil and gas production.
