The New York State Common Retirement Fund has significantly expanded its climate-focused portfolio, adding $2 billion to the FTSE Russell TPI Climate Transition Index Fund, bringing its total investment in the fund to $4 billion. The move is part of a broader strategy to reach $40 billion in green assets and achieve a net-zero emissions portfolio by 2040.
The $273.4 billion pension fund has now allocated $26.5 billion toward climate-related investments, including green bonds, renewable energy, and climate-transition index funds. The FTSE Russell TPI fund evaluates companies based on carbon intensity, fossil fuel exposure, and green revenue. Despite a slightly lower return than the broader Russell 1000 Index—28% versus 30% in the last fiscal year—the fund continues to play a central role in the state’s climate-aligned strategy.
In tandem, the pension committed an additional $400 million to private equity vehicles focused on sustainable infrastructure and the energy transition: $250 million to Oaktree Capital’s Power Opportunities Fund VII and $150 million to Vision Ridge Partners’ Sustainable Asset Fund IV.
“Despite political headwinds, we remain focused on the long-term value and resilience that sustainable investments bring to our portfolio,” said New York State Comptroller Thomas DiNapoli.
The renewed commitments come amid a shifting political landscape, with clean energy programs facing potential rollback under a possible second Trump administration. Nonetheless, New York’s pension fund remains firm in its long-term sustainability objectives, reinforcing its leadership among U.S. institutional investors in climate action.
