CalPERS opts to keep ban on tobacco stocks

As reported by the Sacramento Bee:

CalPERS said no again to tobacco Monday.

Amid a passionate debate on the wisdom and morality of investing in tobacco, the big California pension fund rejected a recommendation by its staff to end its 16-year-old ban on tobacco. CalPERS’ investment committee, in a 9-3 vote, concluded that the tobacco industry is heading toward long-term decline and presents too much of a risk

Because the investment committee consists of every member of the governing board, the vote represents the final decision.

Not only will CalPERS not buy tobacco stocks, it decided it will unload $547 milllion worth of tobacco investments that it has held through outside investment managers. …

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