February 28, 2013
Susan Smith, LP Albany Bureau
Funston’s independent analysis confirms that the New York State Common Retirement Fund is a leader among public pension funds in this country and is setting a standard for transparency and ethics.
“Since becoming Comptroller, I have improved policies and procedures, strengthened internal controls and standards, and increased public disclosure. This review is a validation that we are on the right path and should reassure the people of New York the Fund is being managed properly and ethically," said NYS Comptroller Thomas P. DiNapoli.
A series of recommendations were made by a special Pension Task Force that DiNapoli convened in 2007 in the wake of the pay-to-play scandal under the previous Comptroller. In 2008, DiNapoli collaborated with the then Superintendent of Insurance (now the Superintendent of Financial Services) to strengthen oversight of the Fund and codify task force recommendations and other reforms into a new regulatory framework. Among the regulations is a requirement to conduct fiduciary and conflict of interest reviews of the Fund every three years by a qualified person.
Funston examined 1,700 documents, conducted dozens of interviews with staff and external advisors, worked with an expert benchmarking firm and utilized an advisory team of well-respected financial experts to review the final product. Funston was selected through a competitive process.
To read the full report go to: http://www.osc.state.ny.us/