What’s at stake in New York pension fund’s proposed takeover
NEW YORK (AP) The New York State Retirement System is considering buying Aviva Pension Corp. in a deal that could be a boon for the state’s pension funds, the state Comptroller’s office said Thursday.
The proposal is not related to the pension crisis in New Jersey, which is reeling from a financial crisis that has seen the company struggle to pay its bills and reduce the cost of its assets.
The state is considering purchasing Aviva, which owns a portfolio of roughly $2.7 trillion in assets.
The state is the largest employer in New England, including Connecticut, Rhode Island, Vermont and New Hampshire.
Aviva has been in trouble since it was taken over by General Electric in 2011.
The pension fund is underfunded and its debt has grown in recent years.
It reported $12.9 billion in net liabilities last year, a steep decline from $23.7 billion a year earlier.
The fund’s assets are estimated at $2 trillion.
The company’s financials were filed earlier this month with the Securities and Exchange Commission.
Ava is part of the pension system of Connecticut, New York, Rhode, Maine and New Jersey.
It has about 2.4 million members.