Demonstrators demand no state investments in Israel Bonds, Harrisburg, Pennsylvania, Feb. 6, 2024.
Student encampments demanding divestment of college and university endowments from Israel or companies providing military support for Israel, starting in April, quickly spread from coast to coast in the U.S. and around the globe. Collectively, college and university endowments hold nearly $1 trillion of investments in their portfolios. Outrage over Israel’s genocide in Gaza, which has claimed over 37,000 lives since October 2023, fueled this movement.
However, a much larger source of potential funding for Israel lies with states and local governments whose investment portfolios collectively hold over $4 trillion dollars. This amount does not include state and local government pensions that are generally held in separate funds under different decision-making structures.
By early May, eight months after the start of the genocide,…
