PROVIDENCE – The State Investment Commission has backed R.I. Treasurer Seth Magaziner’s push to sell all Russian stocks and bonds from the state pension fund, Magaziner announced on Wednesday.
The commission’s unanimous vote, taken during an emergency meeting this week, solidifies Magaziner’s prior call to liquidate all financial holdings connected to Russian assets. The gesture is largely a symbolic sanction against Russian President Vladimir Putin’s invasion of Ukraine, since Russian assets comprise less than .3% – or $30 million, depending on market pricing – of the state pension fund’s $10.4 billion assets, according to Benjamin Smith, a spokesman for Magaziner’s office.
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“This war is an affront to the values of Rhode Island and all free and democratic states,” Magaziner said in a statement. “Financial markets operate best when democracy and freedom are promoted and valued, and Rhode Island’s pension funds will not be used to fund Putin’s illegal war.”
Smith could not say exactly when the state will officially divest itself of Russian assets due to volatility in market prices, but said the assets will be sold “as soon as is prudently possible.”
The decision comes amid other measures by the state and local businesses to show support for Ukraine and stand against the Russian invasion. Bellini Providence, the restaurant inside Joseph R. Paolino’s new downtown hotel, The Beatrice, announced Wednesday it was joining restaurants and bars nationwide in selling Nemiroff Premium Vodka, which comes from Ukraine, to customers.
Bellini also does not sell any Russian vodka, the release stated.
“As a former U.S. ambassador, who stands on the shoulders of my relatives who immigrated from Italy many years ago in search of a better life, I honor and respect the freedoms that we enjoy here in the United States,” Paolino, owner and former Providence mayor, said in a statement. “This gesture won’t move mountains, but I hope that this small act expresses our support and love of the Ukrainian people.”
Other area liquor stores have stopped selling Russian products, various news outlets have reported. Meanwhile, the Rhode Island Statehouse was lit up in blue and yellow on Feb. 27 in a gesture of solidarity with Ukraine, while East Providence City Hall raised a Ukrainian flag in a ceremony the next day.
Gov. Daniel J. McKee also sent a letter of support to President Joe Biden earlier this week welcoming Ukrainian refugees into the state.
Magaziner is also a Democratic candidate in the race for the state’s 2nd Congressional District seat.
Nancy Lavin is a staff writer for PBN. Contact her at Lavin@PBN.com.
I’d say $30M is “Much Ado About Nothing.”.