WEST SACRAMENTO, Calif. Jan 9 The investment committee of the
California State Teachers' Retirement System's (CalSTRS) pension fund voted on
Wednesday to sell its investments in manufacturers of firearms that the state
bars private citizens from owning, including the rifle used in last month's mass
shooting at an elementary school in Newton, Connecticut.
The $154 billion pension fund's investment committee also voted to divest
from manufacturers of high-capacity ammunition clips illegal in California.
CalSTRS, just days after the Dec. 14 shootings at Sandy Hook Elementary
School, began reviewing its private equity funds managed by Cerberus Capital
Management LP and invested in Freedom Group. The company manufactures the
Bushmaster semi-automatic rifle, one of the firearms used by a gunman to kill 20
children and six adults at the school. The gunman also killed his mother and
took his own life.
Cerberus is selling investments in Freedom Group, a move applauded by
members of CalSTRS investment committee.