Private Prisons, Immigrant Detention and Investment Risks · Hedge Funds and Private Prisons . In 2017, the New York City Pension Funds became the first U.S. public pension fund to

RANKING ASSET MANAGERS REPORT

Private Prisons, Immigrant Detention and Investment Risks PART ONE

Copyright © American Federation of Teachers, AFL-CIO (AFT 2017). Permission is hereby granted to AFT state and local affiliates to reproduce and distribute copies of the work for nonprofit educational purposes, provided that copies are distributed at or below cost, and that the author, source, and copyright notice are included on each copy. Any distribution of such materials to third parties who are outside of the AFT or its affiliates is prohibited without first receiving the express written permission of the AFT.

Randi Weingartenpresident

Lorretta Johnsonsecretary-treasurer

Mary Cathryn Rickerexecutive vice president

AFT Executive Council

Our Mission

The American Federation of Teachers is a union of professionals that champions fairness; democracy; economic opportunity; and high-quality public education, healthcare and public services for our students, their families and our communities. We are committed to advancing these principles through community engagement, organizing, collective bargaining and political activism, and especially through the work our members do.

J. Philippe AbrahamShelvy Y. AbramsBarbara BowenVicky Rae ByrdChristine CampbellZeph CapoAlex Caputo-PearlDonald CarlistoLarry J. Carter, Jr.Kathy A. ChavezMelissa CropperEvelyn DeJesusAida Diaz RiveraJolene T. DiBrangoMarietta A. EnglishEric FeaverFrancis J. FlynnDavid GrayAnthony M. HarmonDavid HeckerJan HochadelFedrick C. IngramJerry T. JordanTed KirschFrederick E. Kowal

Karen GJ LewisLouis MalfaroTerrence MartinJoanne M. McCallJohn McDonaldDaniel J. MontgomeryMichael MulgrewCandice OwleyAndrew PallottaJoshua PechthaltPaul PecoraleDavid J. QuolkeDenise SpechtWayne SpenceTim StoelbJessica J. TangAnn TwomeyAdam Urbanski

1

Introduction

‐

Hedge funds invest

millions of dollars in

companies that profit

from private prisons and

detention facilities.

2

“This industry has turned

human suffering into a

billion-dollar business”

3

Fiduciary Arguments for Divestment

It is precisely this

vulnerability to political

changes that makes

investments in the

industry risky.

4

Hedge Funds and Private Prisons

In 2017, the New York

City Pension Funds

became the first U.S.

public pension fund to

fully divest from the

private prison industry.

5

Investment Manager Watch List

What Can Trustees Do?

6

Special Note to Asset Managers:

If you feel that your fund has been placed in the incorrect category, please let us know. Contact the

AFT’s Center for Workers’ Benefits and Capital Strategies at either 202-585-5817 or

[email protected].

7

8

Endnotes

9