Michigan state outline

Michigan Average CBR Summary

Avg. Company Rating

Average Risk Rating: Medium

Avg. Rating Criteria

Corporate Weaponization Risk Levels
Criteria Risk Level
Cancellations Medium Risk
Discriminatory Philanthropy Medium Risk
Employment Protection High Risk

Corporate Weaponization

Corporate Governance and Public Policy Risk Levels
Criteria Risk Level
Advocacy Bias Medium Risk
Funding Medium Risk
Political Actions Medium Risk

Corporate Governance and Public Policy

State Leadership

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State Pension Fund Summary

Michigan has five main public pension systems: the Michigan Public School Employees’ Retirement System (PSERS), Michigan State Employees’ Retirement System (SERS), Michigan Municipal Employees’ Retirement System (MERS), Michigan State Police Retirement System (MSPRS), and the Judges Retirement System (JRS). The State of Michigan Investment Board (SMIB) oversees the investments of PSERS, SERS, MSPRS, and JRS.

  • The SMIB board consists of 5 members: 2 Ex Officio (State Treasurer as chairperson, the State Budget Director); 3 members appointed by the Governor who have extensive public pension investment or similar experience.
    • SMIB does not disclose the identity of its general investment consultant in its reports. However, according to its June 2024 Report, SMIB’s general investment consultant is likely Aon.
    • SMIB’s proxy voting policy can be read here.

The “By Asset Manager” and “Asset Manager Voting” tables show the proxy voting records of the state’s asset managers who manage the pensions’ stock market portfolio through index, exchange-traded, or mutual funds. Since these are externally managed funds, the asset managers typically retain and exercise proxy voting privileges. This data is used to calculate the state’s pro-ESG and anti-ESG scores to see how the state leverages its externally managed funds in proxy voting.

Michigan does not disclose its proxy voting records for directly owned securities through pension fund portfolios and refused to comply with a FOIA request for this information. The 1792 Exchange encourages Michigan to publish its proxy voting records instead of keeping its pensioners in the dark about how the state votes on ESG issues with their money.

Pension Funds Management

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