Fund Requires Banks to Separate Research
- Share via
The California State Teachers’ Retirement System, the third-largest U.S. public pension fund, will require banks investing its money to split research from investment divisions to avoid conflicts of interest.
CalSTRS’ investment committee approved the rules Wednesday, said state Treasurer Phil Angelides, a CalSTRS board member. The more than 300 investment banks and broker-dealers that invest the fund’s $100 billion must separate research and investment divisions, and submit compliance plans by Dec. 1, Angelides said.
CalSTRS also agreed to support executive-compensation plans at the 1,000 largest companies in which it invests only if the company’s top five executives get no more than 5% of the total payroll, Angelides said.
The California Public Employees’ Retirement System, the largest pension fund, voted in June to oppose any nonperformance-based executive compensation plans of companies in which it invests.
Inside the business of entertainment
The Wide Shot brings you news, analysis and insights on everything from streaming wars to production — and what it all means for the future.
You may occasionally receive promotional content from the Los Angeles Times.
