Talk about putting your money where your mouth is! Pennsylvania State Treasurer Robert P. Casey, Jr. announced yesterday that the state will be adopting a new approach to investing public funds with its Keystone Green Investment Strategy. Pennsylvania will put $90 million behind this plan to spur growth in clean and sustainable business development, and to promote these opportunities to other investors. The strategy consists of four elements:
- The Keystone Green Fund - a new investment fund Casey is establishing to attract and leverage private sector investments in clean technology products and firms that will benefit Pennsylvania's economy. The Fund will include up to $40 million in Treasury assets and several million more from Pennsylvania-based energy funds.
- Active Equity Management - Casey will reallocate up to $50 million in Treasury assets from existing investment managers to those who can demonstrate a track record of providing superior returns on their investments in clean technology stocks.
- Environmental Equity Screens - Treasury will develop new investment screens for its investment managers and outside consultants to use when evaluating a company's potential exposure to environmental liabilities.
- Investor Network on Climate Risk - Pennsylvania will formally join the INCR, a network of institutional investors and financial institutions that promotes better understanding of the financial risks and investment opportunities posed by climate change.
Update: Just to clarify: Casey announced this initative, but it was a product of action by the Pennsylvania legislature. Also (as a commenter has already noted), Casey is the Democratic candidate for the US Senate seat currently held by Rick Santorum.