Second Communication to The New School Community from the Advisory Committee on Investor Responsibility
A Message from the Advisory Committee on Investor Responsibility
We are pleased to update The New School Community about the Advisory Committee on Investor Responsibility (ACIR). We are making significant progress in investigating how the university endowment can better align with the values of our community.
Background: The ACIR was previously charged from 2009-2021 by the President to advise the Investment Committee of the Board of Trustees on integrating consideration of environmental, social, and corporate governance (collectively, “ESG”) issues into the management and investment of the university endowment. The ACIR was re-established during the protests and occupations with a commitment to communicating the views of students, staff, and faculty to the Board of Trustees.
Activities: Our current focus includes defining and aligning with our mission, producing a charge, and conducting research on the request proposed by multiple governing bodies within the university on ways to divest from military industry and military surveillance companies. We are also exploring alliances with other universities, such as Union Theological Seminary, as well as delving into social impact investing and shareholder activism. We may also propose membership in the Council of Institutional Investors.
Education: To further align with our university ethos and committee goals for social activism, we are advancing education by having a tuition-free 3-credit class on Socially Responsible Investing.
Timeline: We aim to have a strong proposal for the Investment Committee in time for the next Investment Committee meeting in September. We are not prepared to submit a proposal by June 14. We advise the Investment Committee to delay their consideration of these matters until we complete our proposal.
Rationale: Given the scope of our work, we require more time to formulate a comprehensive proposal for the Investment Committee. This includes understanding the content and structure of endowment portfolios and how restructuring endowments can have positive or negative impact. We have learned that we need further time to analyze the cost and structural reality of divestment or other strategies to align our mission and values with our investments.
Therefore, it is crucial for us to develop a strong proposal that the Investment Committee will understand and find sensible and desirable to support.
Independence: We also want to take this opportunity to remind the university community that the ACIR is an independent committee composed of staff, student, and faculty representatives chosen by their respective senates, and chaired by an independent tenured faculty member. In contrast, the Investment Committee is a committee of the Board of Trustees, composed of community members who serve without compensation and some of whom generously donate their personal funds to the school.
Thank you for your attention and support as we continue our important work.
Sincerely,
Advisory Committee on Investor Responsibility
Teresa Ghilarducci, Chair
Leo Ruales, Student Senate Representative
Paula Ante Wright, Student Senate Representative
Yasmine Davis, Staff Senate Representative
Rafael Muñoz, Staff Senate Representative
Jen van der Meer, Faculty Senate Representative
Rhea Alexander, Faculty Senate Representative
Christopher Castano, Board of Trustees Representative