Bureau of Asset Management
Advisor to New York City Pension Funds
The New York City Comptroller serves as a member of the Board of Trustees of four of the five City Public Pension Funds and is investment advisor to, and custodian of, the five Funds. As the investment advisor to the Funds, the Comptroller has the fiduciary responsibility of investing and protecting the Funds for more than 237,000 retirees and beneficiaries and more than 344,000 City and City affiliated employees. Investing in the City's pension funds is one of the Comptroller's most critical tasks.
Through a rigorous procurement process, the Bureau of Asset Management (BAM) assists the Pension Funds in selecting investment advisors and consultants. The Funds invest in a variety of asset classes, including U.S. and foreign equities and U.S. fixed income products. The Funds also make Economically Targeted Investments.
As part of their asset allocations to U.S. equity and fixed income, a number of the Funds maintain an emerging managers' program in which a number of smaller investment advisory firms, including many minority/women owned businesses, provide services to the Funds. BAM maintains a list of Minority-and Women-Owned Broker Dealers for the Funds' investment advisors. Advisors are encouraged to use minority and women-owned broker-dealers. To be added to this list, click here.
BAM manages the Funds' cash, directs allocations to the investment advisors and assures that investments recommended by the advisors meet legal requirements. The bureau also analyzes the performance of individual advisors, their investments and transactions for compliance with investment guidelines.
In addition, BAM invests certain City funds for the short term and earns additional money for the City before the funds are distributed to pay for expenses.
Finally, BAM, on behalf of the Trustees of the Pension Funds, votes the proxies for shares held by the Funds, and coordinates Corporate Governance and Shareholder Initiatives.
See the City of New York Comprehensive Annual Financial Report of the Comptroller FY 2011 for more information on the Pension Funds.
On these pages, the use of the term "Systems" and "Funds" are used interchangeably.