Establishing a public option for asset management in the United States

Bibliographic Data

ID9257097
AuthorsLenore Palladino (0000-0001-9225-2843, Economics & Public Policy, University of Massachusetts Amherst, Amherst, MA, USA, corresponding author), Lenore M Palladino
Year2024
Volume82
Issue2
Pages241-260
Publication date2024-04-02
Peer ReviewedYes
Open AccessNo
TypeARTICLE
VenueReview of Social Economy (JOURNAL)
Journal identifiersISSN: 0034-6764 • E-ISSN: 1470-1162
PublisherInforma UK Limited (PUBLISHER • GB)
DOI10.1080/00346764.2023.2237485
OpenAlexW4385507800
LanguageEN
Citations received3
References cited21

Asset managers – financial institutions like BlackRock, State Street, and Vanguard – manage trillions of dollars of US household financial assets, including public pension funds at the federal, state, and municipal level. The structural power of asset managers means they play a decisive role in corporate decision-making, while the conflicts of interest inherent in their business model and a short-term interpretation of their fiduciary duties means they do not serve the actual interests of their economic beneficiaries in a sustainable economy. I propose establishing a public asset manager in the United States to serve as the asset manager for public pension funds. This article situates this proposed institutional reform in the broader evolution of asset manager capitalism and explains how establishing a public asset manager is an institutional reform that would shift the financial system toward serving the actual interests of the people and social systems on which it depends

Asset (computer security) · Asset management · Business · Duty · Economics · Fiduciary · Pension · Political science · Politics · Veto · Voting · Finance · Financial Literacy, Pension, Retirement Analysis · Housing Market and Economics · Housing, Finance, and Neoliberalism · Law

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