NYC pension funds lose $2M in failed First Republic, Signature banks

view original post

City pension funds had almost $2 million invested with First Republic and Signature banks — losing it all when both banks failed this year.

Load Error

The losses were contained in new data The Post obtained from the city Comptroller’s office under a Freedom of Information Law request.

Though a federal bailout rescued bank depositors, the city’s pension cash had been invested in bank stocks and bonds.

“The overall loss is negligible in the context of the daily market motions of our $240 billion pension funds,” said Chloe Chik, spokesperson for Comptroller Brad Lander.  

All five city pensions funds were hit in the bank failures.

The biggest losers were city teachers, who were down $799,792. They were followed by police, who lost $455,934, and the New York City Employees’ Retirement System, which lost $439,204.

Fire pensions lost $177,213, while the city Board of Education Retirement System had the least exposure with just $62,521.

The losses add to the more than the nearly $30 million city pensions were down after the collapse of Silicon Vally Bank.

© Provided by New York Post

First Republic also followed Signature in bankruptcy. AP

© Provided by New York Post

New York City Comptroller Brad Lander has often touted the benefits of woke investing. Roy Rochlin/Shutterstock

© Provided by New York Post

Signature Bank failed and took New York City pension money with it.AP

Both Lander and SVB were proponents of Environmental, Social, and Governance investing which seeks to invest in companies that support progressive political causes — and not exclusively focus on investor return.

Continue Reading