'Ignoring risks, whether related to governance, climate, or supply chains, is not neutrality- it's negligence.'
Santa Fe, N.M. — State Treasurer Laura M. Montoya, alongside sixteen other statewide elected fiscal officers, sent letters to 18 major asset management companies yesterday urging them to reaffirm their commitment to responsible stewardship of financial assets. The letters offer a clear alternative to recent messaging from the State Financial Officers Foundation (SFOF), which promotes a narrow interpretation of fiduciary duty and encourages asset managers to shift their fiduciary practices away from proven models that prioritize strong returns, responsibility, and long-term risk management. Treasurer Montoya is making clear that New Mexicans deserve asset managers who will stand firm in the face of political pressure and whose approach, rooted in real-world risk and in consideration of long-term value, strengthens retirement security for public workers.
“We have a responsibility to shut down any attempts to redefine or diminish the true meaning of ‘fiduciary duty,’ which means the duty to act in the best interests of what or whom is being represented,” said Treasurer Montoya. “We’re calling on asset managers to uphold their fiduciary duty by avoiding getting caught up in political agendas that oppose sound investment principles and that could potentially create unnecessary risk.”
The letter also stresses the importance of asset managers exercising their proxy voting rights and engaging with companies to protect long-term, riskadjusted financial returns. The expansion of opportunities for investor participation prioritizes transparency and accountability while fortifying the link between investment capital and corporate governance.
“In order to mitigate risk and maximize return, investors have a fundamental responsibility to engage with the companies they hold shares of,” continued Treasurer Montoya. “It’s imperative that asset managers continue to facilitate this role and preserve investors’ authority to serve as accountable stewards of the companies they own.”
The 18 major asset managers receiving the letter include BlackRock, Vanguard, State Street, T. Rowe Price, and Fidelity Investments, among others. The financial leaders requested responses by September 1, 2025, and invited meetings with their offices to “reaffirm [their] current commitment to responsible stewardship and build a constructive dialogue around this issue.”