{"id":1695381,"date":"2022-10-15T06:02:08","date_gmt":"2022-10-15T10:02:08","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1695381"},"modified":"2022-10-16T11:25:07","modified_gmt":"2022-10-16T15:25:07","slug":"texas-teachers-retirement-system-moves-to-distance-pensions-from-chinese-stocks","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/texas-teachers-retirement-system-moves-to-distance-pensions-from-chinese-stocks\/","title":{"rendered":"Texas Teachers\u2019 Retirement System Moves to Distance Pensions From Chinese Stocks"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">22<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Ftexas-teachers-retirement-system-moves-to-distance-pensions-from-chinese-stocks%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1695381&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>The largest public retirement system in <a href=\"https:\/\/www.theepochtimes.com\/t-texas\">Texas<\/a> is moving to remove Chinese companies from the list of <a href=\"https:\/\/www.theepochtimes.com\/t-stocks\">stocks<\/a> it invests in as part of its pension fund for <a href=\"https:\/\/www.theepochtimes.com\/t-teachers\">teachers<\/a>.<\/p>\n<p>The Teacher Retirement System of Texas (TRS) gained approval last month to move forward with a new benchmark that proportionally mixes two emerging markets indexes, including one with <a href=\"https:\/\/www.theepochtimes.com\/t-china\">China<\/a> and one without.<\/p>\n<p>The move will cut the $184 billion pension fund\u2019s exposure to Chinese stocks in half.<\/p>\n<p>TRS previously <a href=\"https:\/\/www.reuters.com\/world\/us\/texas-teachers-pension-cut-china-target-allocation-2022-10-14\/\">stated<\/a> that it was pursuing this course of action because the MSCI Emerging Markets Index that it used gave an \u201coutsized weight\u201d to China. As such, it sought to improve the diversification of the benchmark and reduce China\u2019s allocation.<\/p>\n<p>China currently represents 35.4 percent of the weight in the MSCI Emerging Markets Index and accounts for 3 percent of TRS\u2019 total exposure.<\/p>\n<p>The new benchmark will reduce China\u2019s weight in the index to 17.7 percent, thus lowering TRS\u2019 exposure to China to 1.5 percent, according to Bloomberg, which first <a href=\"https:\/\/finance.yahoo.com\/news\/texas-pension-184-billion-halve-034632265.html\">reported<\/a> the shift.<\/p>\n<p>The change was approved at a previously unreported meeting in September. There is a six-month transition period to adjust the current portfolio accordingly, intended to reduce negative price impact as Chinese markets face a prolonged downward trend.<\/p>\n<p>Several factors are currently weighing on Chinese markets, including the heavy hand of Chinese Communist Party (CCP) leader Xi Jinping, whose COVID-19 lockdowns have <a href=\"https:\/\/www.theepochtimes.com\/china-services-pmi-falls-as-regime-once-again-imposes-drastic-lockdowns_4784398.html\">shuttered<\/a> previously bustling cities for nearly two years.<\/p>\n<p>Also notable are the U.S. sanctions on CCP officials over the alleged genocide of the Uyghurs in China\u2019s Xinjiang region, and the Biden administration\u2019s unprecedented move to <a href=\"https:\/\/www.theepochtimes.com\/biden-admin-unveils-tough-restrictions-on-semiconductor-exports-to-china_4782149.html\">limit<\/a> the types of semiconductors that can be sold to China\u2014a move that has caused Chinese tech stocks to <a href=\"https:\/\/www.theepochtimes.com\/china-tech-shares-sink-as-us-export-curbs-raise-chip-sector-hurdles_4786334.html\">shrink<\/a>.<\/p>\n<p>While not directly related to current tensions between China and the United States, the idea to potentially restrict exposure to Chinese markets in public pension funds was floated by the Trump administration in 2019.<\/p>\n<p>TRS\u2019 new benchmark is expected to be fully implemented by the beginning of March next year.<\/p>\n<p><em>Reuters contributed to this report.<\/em><\/p>\n<p>   <a href=\"https:\/\/www.theepochtimes.com\/author-andrew-thornebrooke\"><\/a> <\/p>\n<p>Follow<\/p>\n<p>Andrew Thornebrooke is a reporter for The Epoch Times covering China-related issues with a focus on defense, military affairs, and national security. He holds a master&#8217;s in military history from Norwich University.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The largest public retirement system in Texas is moving to remove Chinese companies from the list of stocks it invests in as part of its pension fund for teachers. The Teacher Retirement System of Texas (TRS) gained approval last month to move forward with a new benchmark that proportionally mixes two emerging markets indexes, including &hellip;<\/p>\n","protected":false},"author":1,"featured_media":1695383,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[547],"tags":[],"class_list":["post-1695381","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-the-bongino-report"],"_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1695381","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1695381"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1695381\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1695383"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1695381"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1695381"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1695381"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}