Ten members of various student groups joined Tuesday to draft a policy that will call for an investigation of MSU investments in companies deemed unethical.
“It’s just a policy that says there is a way to bring up questionable investments,” said Tessa Fojut, member of Students for Economic Justice, one of the groups represented in the coalition.
The policy would call for divestment if companies have immoral business practices or interests.
Other student groups involved in the divestment policy include environmental group ECO, Feminists Ending the Misogynist System, Students for a Free Tibet and Students for Palestinian Human Rights. The coalition plans to present the policy draft at the Board of Trustees’ November meeting.
MSU President M. Peter McPherson told The State News on Monday that MSU would not divest based on a country’s social or political policies.
In 1978, MSU divested from companies in South Africa as a result of seven years of student and faculty campaigning against apartheid.
The coalition thinks some companies MSU invests in are unethical. Its list includes Playboy Enterprises Inc., Exxon Mobil Corp. and Citigroup Inc.
According to MSU’s financial report for 2000-2001, the university had about $450,000 invested in Playboy.
“Playboy reports an image of women that is not real and is very damaging. We wanted to do something about that,” said Sarah Mcdonald of FEMS.
“But that’s not our concern right now. We just want to get a policy in the books,” Fojut said.
Cambridge Associates manages the board’s investment portfolio.
“We as a university do not recommend individual companies at all,” MSU Board of Trustees Chairperson Don Nugent said. He also serves as finance chairman for the board.
He said the board has an obligation to be socially responsible, but also to reduce risks.
“Our program is working very satisfactorily to maximize returns,” Nugent said. He also said there is no apartheid today and that “we have an obligation with the endowment funds to maximize our returns.”
But Fojut said, “They’re looking out for their investments, but only from a monetary standpoint.”
Melissa Sanchez can be reached at sanche96@msu.edu.
