Christopher Swope was GOVERNING's executive editor.
E-mail: mailbox@governing.comTwitter: @governing
Politics
Opening Pension Fund Books Even Wider
Public pension funds have begun releasing data on their venture- capital investments, something they had not done in the past.
Pressure for the data is coming from the media. In reaction to a public records request from the Houston Chronicle, the University of Texas pension fund announced in October that it would make public the performance of its private equity investments. "The big corporate disasters we've seen recently really demand a more open and transparent environment, especially when we're talking about public funds," says Bob Boldt, president of the Texas fund, known as UTIMCO.
Retirement funds for Oregon's public employees and California's teachers took similar action recently, as did California's massive pension fund known as CalPERS, which settled a lawsuit with the San Jose Mercury News in December. CalPERS agreed not only to release data on its venture investments but also to develop a standard for transparency on venture-fund investments.
The wave of disclosures, however, is rankling the venture-capital industry, which is known for taking big risks on small upstart companies. Venture firms argue that disclosure is trickier than with stocks or bonds, that the investments tend to linger in the red for some time before turning a profit--a pattern that, they say, journalists or politicians could easily misrepresent.
A few venture firms are angry enough about the disclosure rules that they've vowed to stop doing business with public pensions in the future. But Boldt says investment lawyers are already crafting ways around the rules. "In some states, lawyers are urging general partners to not give us any information on paper, for our eyes only," Boldt says. "If we don't have it, we can't disclose it."
If you enjoyed this post, subscribe for updates.
Twitter: @governing
Latest from Politics
- Fact vs. Fiction: Arkansas' Game-Changing Medicaid Expansion Plan
- A lot of information is floating around about the state's first-of-its-kind plan to expand Medicaid under Obamacare. Arkansas' Medicaid director sets the record straight.
- Behind Maryland Gov. O' Malley's Political Risk to Push Gun Control
- After the mass shootings at a Newtown, Conn., elementary schools, Martin O’Malley wanted to attempt something no state had attempted to enact in nearly two decades.
- Connecticut Gov. Malloy: NRA CEO is Like a Clown
- Connecticut Gov. Dan Malloy went on the attack against NRA CEO Wayne LaPierre, saying that he "reminds me of the clowns at the circus - that's what he's paid to do."
- Oil and Gas Bills Pit Legislature vs. Governor in Colorado
- For Gov. Hickenlooper, who supports oil and gas development, the Democrat-sponsored and -supported bills create a dilemma.
- Gay Marriage Opponents Lose Ballot-Title Battle in Oregon
- The Oregon attorney general's office isn't buying an attempt by gay marriage opponents to radically rewrite the ballot title for a proposed initiative that would allow same-sex marriages in Oregon.
GOVERNING Data
- Gay Marriage States Map
- Map shows state laws legalizing or prohibiting gay marriage and civil unions.
- 2012 Population Estimates for Metro Areas
- Public Transit Agency Ridership Statistics
- Average Tax Refund by State
- Which Services Are Citizens Most, Least Satisfied With?
- 2013 State of the State Speeches Word Cloud
Events & Webinars
- It’s A Paperless, Paperless World..... Thinking Outside the Box to Gain Efficiencies through Prepaid Cards
- April 23, 2013
- Public sector organizations are under intense scrutiny to operate as efficiently and effectively as possible and with maximum transparency. An important consideration is the way in which payments are made and managed. Prepaid cards can offer flexibility, security and accountability to governments as a method of dispersing benefits, healthcare and social care payments, child benefits and housing benefits to their constituents.
- GOVERNING - Michigan Leadership Forum 2013
- May 1, 2013
Twitter
Facebook
LinkedIn
YouTube
Flickr
RSS
© 2011 e.Republic, Inc. All Rights reserved. |