Fossil fuels are a bad investment for pension fund
It’s gratifying to see that the state pension fund, under Michael Trotsky’s leadership, has done so well (“State’s pension fund chief gets 9 percent salary hike,” Business, Nov. 24) . But the figures hide a dangerous undercurrent — the continued large investments in fossil fuels. As oil, gas, and especially coal become stranded assets, never to be burned because of their destructive effects on the climate, these investments can easily undermine the pension fund’s future success. That is why leaders of some of the largest unions representing current and future pensioners (Massachusetts Teachers Association, the Service Employees International Union, Boston Teachers Union, Massachusetts Nurses Association) recently joined investment experts and environmentalists testifying in favor of House Bill 3281. The bill would have the fund immediately begin divesting from coal and would establish a commission chaired by the state treasurer to investigate and make recommendations on oil and gas investments. Let’s all support this bill so our pension investments remain safe and keep up with the times.