State of Connecticut Retirement System, with $17 billion in assets, sold $650 million worth of stock and bought an equal amount of bonds yesterday in order to comply with state law limiting pension fund investments in equities to 55% of total assets, said State Treasurer Paul Silvester.
``This is a reasoned approach that is in the best interests of the state's 150,000 pensioners,'' said Mr. Silvester, the sole trustee. ``Periodically we are obliged to rebalance our portfolio to get under the 55% limit. But this is the second time in a short period we have had to do this, a sign that our investment strategy is reaping solid return for our pensioners.
Last year, the Hartford-based system sold $600 million in stock because equities had advanced beyond the 55% limit, he said.
Recent attempts to have the General Assembly raise the 55% limit to 60% or 65% have failed.
Service Employees International Union Master Trust, Washington, and Franklin Research and Development jointly have filed a resolution with Mobil Corp. requesting it take action on behalf of two Nigerian oil worker union leaders imprisoned without charges or trial.
The resolution, which will be on Mobil's proxy statement, asks the company to review its guidelines for investments in Nigeria, noting the country has systematically violated internationally accepted labor standards and human rights. The two shareholders own a combined stake of 49,500 Mobil shares, worth $3.9 million.
In a statement, Mobil officials said the board is recommending shareholders vote against the proposal, because it would require that the company establish its own foreign policy in each country where it does business.