Teachers Union Adds Highbridge, GTCR To Watch List

Mar 17 2014 | 3:47am ET

The American Federation of Teachers has added a hedge fund and private-equity firm to its list of money managers it recommends teacher pensions avoid.

Highbridge Capital Management and GTCR support the elimination of defined-benefit pension plans, the AFT’s updated report alleges. The first edition, released last April, included the likes of Appaloosa Management, Elliott Management, Icahn Enterprises, SAC Capital Advisors, Tiger Global Management and Tudor Investment Corp.

The report will be issued to pension funds on March 18.

“We’re trying to make sure that pension funds know the efforts that some of these same asset managers have made to harm retirement security,” AFT President Randi Weingarten told Pensions & Investments. “The exercise was simply to say these are asset managers—while they are seeking to enrich themselves or make money off of your pension fund, they are also actually trying to diminish participants’ retirement security or other participants’ retirement security.”

Highbridge has run afoul of the AFT because co-founder Glenn Dubin is a contributor to StudentsFirstNY, which the union says argues that states should do away with DB plans. GTCR was cited for its ties to former chairman Bruce Rauner, now a Republican candidate for governor of Illinois and an advocate “for the elimination of defined-benefit plans.”

The AFT also added Aon, the parent of Aon Hewitt and Hewitt EnnisKnupp, to its list, while removing hedge fund Khronos and Centaurus Advisors. The former got off due to the departure of managing partner Rafael Mayer from StudentsFirst’s board, and the latter due to its liquidation.


In Depth

Fitch Says Alternative Asset Managers 'Stable' Despite Dry Powder

Nov 20 2014 | 9:30am ET

Ratings agency Fitch says the outlook for seven publicly traded alternative asset...

Lifestyle

Cohen Buys $101 Million Sculpture

Nov 12 2014 | 9:17am ET

Steven Cohen was the sole bidder for a rare Alberto Giacometti sculpture at Sotheby...

Guest Contributor

Why The Big Money Is Going To Europe

Nov 14 2014 | 6:03am ET

Peer-to-peer lending was invented with the individual investor in mind. But despite...

 

Sponsored Content

    For Hedge Funds, Mastering Data Is Key To Success

    Nov 4 2014 | 9:45am ET

    Data management is important to every business, but for hedge funds, it is critical. FINalternatives recently asked Peter Sanchez, CEO of Northern Trust Hedge Fund Services, how fund managers can deal with the demands of managing data while at the same time remain transparent and abide by operational best practices. Read more…

Editor's Note

    Guidelines for Guest Articles

    Oct 22 2014 | 9:46am ET

    We are always looking for guest articles from hedge fund managers and buy-side firms.

    If you are interested in submitting a contributed piece for possible publication on FINalternatives, please take a look at the specs. Read more…

 

Futures Magazine

November 2014 Cover

Building a better market

Reg NMS created a huge bifurcation in equity markets and while much of what has followed has been positive, in terms of lower fees and greater liquidity, many traders would like to see the market come...

The Alpha Pages

TAP July/August 2014 Cover

The Alpha Pages Interview: Senator Rand Paul

Senator Paul sat down in the debut series of the Alpha Pages Interview to discuss the broken tax code, regulation surrounding Bitcoin, and his plans for the 2016 Presidential election.