For the past few years, CalArts President Steven D. Lavine and Chief Financial Officer Don Matthewson have engaged in discussions with the Investment Sub-Committee of CalArts' Board of Trustees, the Student Union on behalf of the student body, as well as interested faculty and staff, on ways to minimize the Institute’s exposure to fossil fuel companies in its investment portfolio.
Last December, CalArts' administration announced a plan of action that included both long- and short-term strategies for reduction in such companies, including the revision of CalArts' Investment Policy Statement, which reflects the importance of considering environmental, social and governance factors before making investment decisions.
In a letter to the CalArts community released on Friday (Dec. 18), Matthewson noted that the CalArts Board of Trustees' Investment Sub-committee approved the following action item at its Nov. 19 meeting:
- Redeem $14 million from existing equity fund investments and invest these funds in the BlackRock Developed ex-Fossil Fuel Fund. The global equity index fund excludes companies whose primary business is to explore, own and exploit carbon reserves.
As a result of these actions, the Institute’s exposure to fossil fuel stocks in its investment pool will be reduced from 2.6 percent to 1.3 percent.
In continuing its commitment to the environment, the Administration continues to work closely with the Student Union and the CalArts Commission for Sustainability to develop campus initiatives related to combatting global warming and climate change.