Frequently Asked Questions
The Alliance is group of investors and experts supporting public policies that improve and strengthen retirement opportunities. We support savings, investment solutions, maximizing returns, and increasing investment choices.
We’re here to offer constructive solutions for addressing the American retirement crisis. We will help policymakers understand the long-term implications of politicizing pension funds and investments and the importance of supporting policies that increase access to retirement and savings solutions.
Several states have politicized pension investments, passing laws directing government funds to boycott all pension managers whose portfolios include any ESG investments. These decisions are made without regard for the unintended, fiscal consequences these boycott laws will have – drastically limiting returns for teachers, nurses, firefighters, police, and other public employees that are dependent on these pension funds.
Similarly, other states have introduced bills to divest holdings in fossil fuel companies regardless of those funds’ return on investment.
Tim Hill, President of the Alliance, has served for many years on local and national non-profit boards, state and local boards and commissions, and in volunteer advisory positions to state and local elected officials. The Alliance is a 501(c)(4) nonprofit organization.
The Alliance will tell real-life stories of individual investors and retirees. We will oppose the politicization of pension funds and advocate for policies that improve retirement savings and investment opportunities for Americans. We’ll also work to increase general literacy about investment, savings, pension, and retirement policies to ensure sound financial and regulatory decisions.
One study said a 2021 Texas law restricting government contracts with banks that followed certain ESG policies had an immediate — and negative — effect on the cost of the state’s borrowing. Such laws base investment decisions on politics instead of financial benefit, limiting what’s available for beneficiaries like teachers, firefighters, police, and other public pension participants.
“In 2021 Texas enacted laws that prohibit municipalities from contracting with banks with certain ESG policies, leading to the exit of five of the largest municipal bond underwriters from the state. Issuers previously reliant on these underwriters face higher uncertainty and borrowing costs since the enactment of the laws. These effects are consistent with deterioration in underwriter competition as issuers face fewer potential underwriters. Texas issuers will incur $300-$500 million in additional interest on the $31.8 billion borrowed during the first eight months following enactment.” — Garrett, Daniel and Ivanov, Ivan, Gas, Guns, and Governments: Financial Costs of Anti-ESG Policies (May 30, 2022). Jacobs Levy Equity Management Center for Quantitative Financial Research Paper, Available at SSRN: https://ssrn.com/abstract=4123366 or http://dx.doi.org/10.2139/ssrn.4123366
We invite you to join us and share your story! Go to the Contact Us page and fill out the form or send us an email: [email protected].
It is vital that you are heard by those policy makers who are debating your freedom to select the best investments for your savings and retirement.