Two of New York City's largest pension funds have pledged to make their portfolios net zero by 2040.
The New York City Employees’ Retirement System (NYCERS) and the Teachers Retirement System (TRS) announced implementation plans to reach their goal of net zero emissions in their investment portfolios.
“Adopted by trustees today, the Net Zero Implementation Plans are a tangible, measurable roadmap toward decarbonization across our investment portfolio and the global economy,” said Comptroller Brad Lander.
“NYCERS and TRS’ plans will prudently address climate risks and maximize opportunities to benefit New York City pensioners and beneficiaries, consistent with our fiduciary duty," he added.
Lander stressed: "This ‘high ambition’ plan is also a call for partnership with other pension funds, asset managers, financial firms, and portfolio companies. The climate crisis cannot be effectively addressed in silos.”
“By adopting these plans, NYCERS and TRS are showing what responsible investment looks like in the era of climate change.” said Bryan Berge, representative of Mayor Eric Adams, chair of the Board of Trustees of the New York City Employees’ Retirement System and a trustee of the Teachers’ Retirement System.
“This plan will be a beacon for other institutional investors who share our vision for prudent portfolio decarbonization.”
Efforts so far
In 2015, NYCERS and TRS divested from thermal coal. From 2017 through 2022, the funds conducted comprehensive climate risk assessments, proceeded to divest from fossil fuel reserve owners, and doubled investments in climate solutions.
In October 2021, the funds committed to reaching net zero by 2040 and set a robust goal of investing $36 billion in investments by 2035.
The NYCERS Net Zero Implementation Plan is available here and the TRS plan is available here.
