Zohran Mamdani, the surprise Democratic nominee for New York City mayor, is attempting a delicate balancing act. Once known for hardline anti-Israel positions, Mamdani now emphasizes moderation, crediting influence from figures like London mayor Sadiq Khan and former president Barack Obama. But in an interview Sunday with CBS New York, Mamdani declared he would pull city pension funds out of Israeli government bonds if elected on November 4.
“We shouldn’t have a fund investing in violations of international law,” Mamdani said. Earlier in his career, Mamdani used the slogan “Global Intifada”, a phrase tied to memories of bus bombings and terror in Israel. He has since abandoned it after a conversation with a rabbi who described the fear it evoked.
“I understood that the phrase’s impact was far from its intended meaning,” he said. At a recent rally with Senator Bernie Sanders, Mamdani instead railed against police “criminalization of solidarity with Palestinians” on U.S. campuses, vowing to end heavy-handed policing of student protests.
Israeli bonds have long been considered one of NYC’s most stable investments, averaging 5% annual return with zero defaults. Outgoing Comptroller Brad Lander drastically reduced exposure, fueling accusations of caving to BDS pressure. His successor, Mark Levine, has pledged to restore the investments.
lmdnw@lemmy.world 2 days ago
Sounds like a good move. Only a 5% return and it comes with having to know your money is going to support a genocidal regime led by supremacists? NYC should just take that money and invest in an S&P 500 ETF to more than double the return they are getting from the genocide bonds.
Lovstuhagen@hilariouschaos.com 2 days ago
I fully agree.
I want any money I have invested in any public fund, anywhere, pulled from anything that supports Israel, because that is what I would do if I had any money privately invested that went to Israel.
… This actually has made me realize that the one place I have an investment I am unsure about whether the fund actually is connected to Israel in any way. I am going to ask the next time I am there, and move my money to something else that isn’t invested in Israel if that is the case.
lmmarsano@lemmynsfw.com 2 days ago
Entirely different asset classes: fixed income vs equity.
Fixed income is for lower risk & volatility with a more predictable (typically lower) rate of return.
Nonetheless, 5% return on bonds is hardly exceptional, and comparable alternatives exist in that asset class.
lmdnw@lemmy.world 2 days ago
Thank you for the clarification. So are Israeli bonds the same as a US Treasury bond? Basically just the investor funding the government that the bond is for at that nation’s treasury rate as opposed to the ETF, which is based on market conditions?