Today the State Board of Administration of Florida (SBA) voted to update the board’s Investment Policy Statement to only invest in funds that prioritize the highest return on investment for beneficiaries—without considering political factors. The Foundation for Government Accountability (FGA) praises this move, as it further ensures Florida remains a place where everyone can prosper without economic discrimination for their religious, political, or social beliefs.
This action follows a July announcement from the governor to protect working Floridians from far-left environmental, social, governance (ESG) corporations. Florida’s SBA is entrusted with investing state trust funds, including Florida’s Retirement System Defined Benefit Pension Plan, among others. Additionally, Tuesday’s SBA vote requires a comprehensive report be submitted to the Board of Trustees by December 2023 outlining the ESG policies out of compliance with the updated investment statement.
ESG investment strategies underperform for investors and beneficiaries, and rather than solely focusing on financial returns, discriminates against retirees and businesses who disagree with the Left’s radical climate agenda.
“For too long ‘woke’ capital has misled taxpayers and those saving for retirement into bankrolling the radical green agenda,” said Eric Bledsoe, FGA senior fellow. “We commend Governor DeSantis, Attorney General Ashley Moody, and Chief Financial Officer Jimmy Patronis for taking this critical step to ensure the state’s retirement system and other investments serve their beneficiaries, not ideologues.”