Today, the California State Teachers Retirement System showed the Big Gun industry what a bazooka looks like. It wasn't decrying gun violence. It didn't point out that fifty round clips were bad for business. It didn't sue for damages. No, it simply pulled it's money.
The California State Teachers Retirment System informed Cerebus, the owner of Bushmaster that it divest itself of Bushmaster, or, CalSTRS would divest itself from Cerebus. That potential exodus of $751M+ dollars is enough to make investment firms re-think their standing.
U.S. private equity firm Cerberus Capital Management is selling its investment in gunmaker Freedom Group, whose AR-15 rifle was used in a U.S. school massacre last week, following pressure from a major investor.We are a free market economy. We believe in investments, the rise and fall of businesses based on those business. We've been reminded of this as conservatives informed us that Hostess failing was "how it goes", and that bailouts of public companies was "bad".
This Bushmaster AR-15 semi-automatic rifle and ammunition, shown Monday, March 27, 2006, at Seattle Police headquarters in Seattle. Private equity giant Cerberus is selling its investment in the maker of the weapon in the wake of the Newtown shootings.
The California State Teachers' Retirement System (CalSTRS) said on Monday it was reviewing its investment with Cerberus in the wake of Friday's shooting in Newtown, Connecticut which claimed 27 lives, including 20 school children.
Today, the California Teachers Retirement System showed that two can play at that game.
If more public and large scale union investment strategies divested of many gun manufacturers, you'd hit them where it hurts. Let die-hard conservatives invest in keeping these companies going. But now is the time for more liberal investment groups - every teachers union, every public union, and every 401K investor to start asking their portfolio manager: where is my money going? And a 4% ROI on investment isn't worth knowing that I'm investing in dealing death.
Put pressure on Webhosting providers for ammo dumps. Threaten to pull websites, etc. from webhosts that allow for such sites.
Make the case to me that there should be a government support or bailout of gun companies that can't afford re-investment.
Waiting for the government to react will find you waiting, and waiting, and waiting.
There is immediate actions out there you, personally, can take today. If you're part of a union that invests your retirement; or if your company invests for your retirement, don't you have a right to ask the question where your money is going.. and will you feel better knowing that your retirement isn't paid for by backing companies you are morally opposed to?
As conservatives say: it's your money, it's not the government. And your investment and your resources can make a huge difference.
This morning, they made a Gigantic difference.
Congratulations to CalSTRS. More... All.. State Teachers unions that invest should do the same.