The state Public Employees Retirement System currently investments than $2.45 billion in corporations doing business with South Africa.
Approximately 2,400 SF State faculty and staff members belong to PERS, a mandatory retirement fund for all state employees.
Between 35 percent to 50 percent($2.45 billion to $3.5 billion) of PERS's $7 billion in stock investments are in companies with South African ties, according to Walt Williams, PERS acting chief of investments.
Williams said about half the stock funds are invested into a replica of the Standard and Poor's 500, a register of 500 corporations.
The 15 U.S. corporations with the most money invested in South Africa money invested in South Africa are included in the S and P 500.
Recent anti-apartheid protests at UC Berkeley have focused on UC's$1.7 billion investments with companies doing business with South Africa.
Other campuses across the country, including SF State, have also protested similar investments by their universities.
Williams said PER's remaining $3.5 billion is invested in an "active fund" of 380 corporations, most of which are listed in the S and P 500.
Because of California constitutional limitations, Williams said PERS must invest in companies that paid dividends for 10 consecutive years.
"Those were mostly large companies, and large companies tend to have investments around the world," he said.
Williams added that he expects the PERS investments to shift to smaller companies as a result of the passing of Proposition 21 last July.
The proposition allows PERS to invest without limitations.
Individual members and CSU campuses are not consulted about where to invest PERS funds.
Members are mailed a ballot once a year to vote for board members. Any state employee who has worked full time for more than six months or part time for more than one year is automatically enrolled in the program.
More than 800,000 past and present state employees receive benefits.
PERS paid over $1 billion last year to members.
The following formula is used to calculate wage deductions paid to PERS: After subtracting $513 from an employee's gross monthly earnings (the $513 is not actually withheld), 5 percent of the remaining figure is deducted for the pension fund.
Member contributions reached over $500 million during the 1983-84 fiscal year.
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