Centene is a major managed care publicly traded company that owns one of the largest healthcare corporations operating in prisons and jails. Over 100 of them to be exact. Inmates work for pennies per hour. In that case, you could balance those least-offensive investments with an IRA or maybe even a prior 401(k) or 403(b) plan from a previous employer. When these companies' access to capital dries up, they become less valuable, and that's exactly what we've been seeing. You may want to check out As You Sows methodology to get a better understanding of their grading system. This year is no differentbut why the record-high spend? A subset of the group, including Morgan, have committed over $10 million to impact investing more broadly. Private prisons affect the cost, skillfulness, and capability. There are two major, publicly traded private prison companies in the U.S.: Corrections Corp. of America ( CXW 1.23%) and GEO Group ( GEO 1.99%). According to a 30-state study conducted by the Well, we've come to our final segment in that series. Thus, the individual shareholders who own stock in both CCA and GEO remain shrouded in secrecy much like private prison companies themselves, which have a long history of being non-transparent and lacking public accountability even though almost all of their revenue is obtained from government contracts paid with taxpayer funds. I havent seen a target-date fund exclude any investments. That means if you have a 401(k) plan, there's a good chance you benefit financially from private prisons. All rights reserved. pic.twitter.com/J0XpUKqUkE, CityBoySizzle ?? Communities that have private prisons operating within their oversight often receive new tax revenues, have new jobs to provide local workers, and this creates more spending for the support businesses. T. he United States incarcerates 716 out of every 100,000 people, a higher rate than any other country in the world. He was previously married to Kathleen Marie McLaughlin and Elizabeth Christie. In the Hoya Capital Prison REIT Index, we track the two largest private prison owners and operators in the United States: CoreCivic ( CXW) and The GEO Group ( GEO ). Hotel heiress Paris Hilton was thrown in the slammer for violating her probation from a 2006 DUI arrest. In the O.J. Adasinas exchange-traded fund (ETF) includes global companies whose business practices are aligned with Adasina Social Justice Investment Criteria and excludes companies whose practices impede the advancement of equitable systems. Here's a look at the 10 most pampered celebrity prisoners: 1. Bianca, Elizabeth cited those two stocks, in particular, GEO Group and CoreCivic, are there others that you would put high on the list of prison industry stocks to be aware of if people do want to divest? In 2014, UrbanIntellectuals.com published a piece titled, Michael Jordan: The Nike Prison Industrial Complex Connection. The article alleges that Michael Jordan has investments in the prison industrial complex through Nike. Under Maryland state law, MD Corp. & Assn. With the government paying private prison operators . The hedge fund run by Burry who's best known for betting against the . However, Florida law prohibits shareholders from selling or otherwise distribut[ing] any information or records obtained from the company for reasons that are not related to the proper purpose specified when requesting the records, with a fine of $5,000 applicable for violations of that provision. What are the pros and cons of private prisons? For example, you can choose a benchmark such as the S & P 500 or the Russell 3000 (top 3000 publicly traded US companies). Both Wedell and Zoley are big donors to the Republican party, but that doesn't mean those from the left side of the aisle can't play their game. $304.3 MILLION in private prison operators. Stocks for the second largest contractor, GEO Group, rose by more than 28 percent. This is never a snap decision. The largest owner of CCA stock was Vanguard Group, Inc., with 16.79 million shares valued at $578.9 million, followed by Vanguards Specialized-REIT Index Fund, a mutual fund, with 8.8 million shares. I wanted to know how much the prevention organizations regarding the prison-industrial complex are looking into corporations that are hiring prisoners to make their products within the prisons? Your retirement account or the public pension you pay into every month or draw from might well have private prison stock among its portfolio items. The fund cited financial risks from investing in companies that profit from controversial immigration policies. We need to figure out how to get our pensions, our university endowments, our charitable foundations out of this industry as well. Real Money Moves, from social investment firm Candide Group, aims to raise awareness about where Americans invest their money. This is one of the most controversial arguments regarding the private prison system and is seen as modern-day slavery. Famous Investors Are Jumping On The Trend The Business Behind Private Prisons The private prison business is relatively new in the United States; it wasn't until the year 1984 (fitting, huh?) Bianca Tylek: Absolutely. Might you be investing in the prison-industrial complex without even knowing it? You may opt-out by. CoreCivic formerly and commonly the Corrections Corporation of America and GEO Group are two of the biggest private prison companies in the United States. Investing In Private Prisons. Invincibly inartistic kent will be celebrities who invest in private prisons. In short, it's a case of mistaken identity. 25. What percentage of prisons are privately owned? Other top institutional owners in the company include Blackrock Fund Advisors with 4.9 million shares, Eagle Asset Management with 2.92 million shares, and Fidelity Small Cap Discovery Fund and Fidelity Management and Research Co., each with 2.4 million shares. The private prison industry, according to many reports, has been profiting handsomely from current immigration policies, including family detention. In fact, it has roughly 20 different screenssuch as Reduce Green. Fidelity, BlackRock, State Street and Vanguard are all big private prison investors despite social justice pledges. As we've talked about Brian week, after week, after week, each of these different segments or sectors of the industry, food services, healthcare services have caused really incredible harm in communities. Rating False Origin A report by UrbanIntellectuals.com claims that Michael Jordan makes prison investments. Yes, Biden's election, I think the writing was on the wall. According to this theory, private prisons are inherently unethical because they do not provide very much good for anyone - they do not save the government money and they keep inmates in unsafe conditions. This number has grown by 500 percent in the past 30 years. CCA board member Joseph V. Russell owned 204,306 shares as of February 2015, while the companys CEO, Damon Hininger, owned 181,833 shares as of March 16, 2015. By: Caroline John - Published: April 18, 2018 at 8:19 am | Last Updated: Visit our website terms of use at www.wnyc.org for further information. To lessen the burden on state prisons which were overcrowded, private prisons were created. That complexity may lead you to look for an investment adviser representative with the proper screening and investing tools to help you create that portfolio. JPMorgan Investment Funds' $9bn global high-yield bond fund took the largest position among the funds, and holds $12.5m in the CoreCivic bond, according to regulatory filings for the end of . Michael Jordan, an Oregon lawmaker, has next to no resemblance to NBA legend Michael Jordan. Bianca, briefly on that. More. 95 funds analyzed. 2. The study found that private prisons lead to an average increase of 178 new prisoners per million population per year. Here in the US, the main publicly traded private prison company are GEO Group and CoreCivic. The deal allegedly said that CCA would buy their prisons with one requirement: That there be a 90% guaranteed occupancy rate. 11. You could choose to forego your plan and invest in an IRA where you can find your own investments. 6 The number of inmates housed in private prisons grew 90% between 1999 and 2019, 7 despite Private prisons in the United States incarcerated 115,428 people in 2019, representing 8% of the total state and federal prison population. There's regulatory risk. Other top institutional investors included Managed Account Advisors with 6.4 million shares, London Co. of Virginia with 6.13 million shares and Epoch Investment Partners, Inc. with just over 6 million shares. There is a Michael Jordan that invests in prisons. What is Palantir's competitive advantage? All Rights Reserved. At current stock prices as of the end of July 2015, those public retirement system holdings were worth $88.6 million and $41.3 million, respectively. Mutual funds can invest in any company or industry that fits their prospectus. (That. Really think about that for a second. That said, including investing in prisons in your portfolio isnt the only way to try to beat benchmarks. I called Wedell to ask him what it was like to make a fortune from the incarceration of others, and whether it bothered him to profit off a system that puts more people in prison than any other country in the world. Did Michael Jordan invest in prisons? Private prisons make a profit an estimated $374 million annually giving them an incentive to cut costs more than public facilities. Tags: activists, alysia, alyssa, appropriately, beth, black,, celebrities, celebrities who invest in private prisons, committed, divesting, dover, ellen, enough,, far,, includes, industry, invest, investments, kate, lyonne,, milano, money, moves, mulgrew, natalie, natasha, number, orange, pompeo,, portman,, prison, prisons, private, real, What we found is that a lot of pension funds started divesting from prison stocks. This equates to about 51% of its total annual revenue. Matt Sirovich and Jeremy Mindich both donate to Democratic politicians and are involved with progressive-leaning organizations like Root Capital, a nonprofit lending company that offers loans to farmers in developing countries to alleviate poverty. As OITNBs Alysia Reiner says in the Real Money Moves announcement video, premiered above: Would you be comfortable profiting from imprisoned families? Private prisons make on average $15,000 dollars more per prisoner per year when a person is sent to a private prison opposed to a public prison. The nations two largest for-profit prison companies, Tennessee-based Corrections Corporation of America (CCA) and Florida-based GEO Group (GEO), are publicly traded on the New York Stock Exchange. Are my pension savings invested in this? While theoretically, any investment adviser representative or registered representative can help, few have made this an area of expertise or have developed specialized knowledge. Like Zoley, they are good at what they dotheir fund outperformed the market by 20 percentage points, and the State of New Jersey hired Scopia to manage $150 million worth of pensions. It's the Michael Jordan who works for the Bureau of Environmental Services in Portland, Oregon. Accuracy and availability may vary. Specifically, unions representing public prison staff, such as the American Federal of State, County and Municipal Employees (AFSCME) and Service Employees Intl Union (SEIU), oppose private prisons. About. At an average cost of $60 per day per prisoner, that costs states between $1.9 to $10.6 million per year, if all those additional prisoners are in private prisons. 20. Who owns the most prisons in America? What is the difference between capital formation and investment? It's estimated that private prisons have 49% more incidences of violence and assaults on guards than public prisons. Does Wells Fargo invest in private prisons? It can be based on the size of the prison, based on a monthly or yearly set amount, or in most cases, it is paid based on the number of inmates that the prison houses. Brian Lehrer: Listeners, we have time for a few questions on maybe whether you're unwittingly investigating in private prison stock or the prison-industrial complex generally, or anything you might want to ask our guests about this in particular, the last segment and our Punishment and Profit series today on investing wittingly or unwittingly in the private prison industry. It can be a salutary indefinite quantity to a community. Just tell people about the final event in your live series that is tonight at 7:00 PM. Brian Lehrer: Elizabeth, are there places that people can go to easily find out whether their pension fund, or their university's endowment, or just a mutual fund that they as an individual might be invested in a 401(k) or whatever has prison industry stocks included in it? Since CCA has around 117 million shares of outstanding stock, an investor would have to own about 5.85 million shares (currently valued at over $200 million) before they could obtain a copy of the companys shareholder list. She has worked in the labor movement for over a decade as a strategic campaigner and is now Assistant Director of Research and Strategic Initiatives at the American Federation of Teachers. When the family separation crisis happened last year, they started examining the ways private prisons were profiting to the tune of over $1 billion a year from contracts with ICE, according to Simon. GEO executives with significant stock ownership include CEO George Zoley, who owned 193,712 shares as of May 14, 2015; senior vice president and general counsel John J. Bulfin, with 120,023 shares as of March 2015; and GEO board member (and former Bureau of Prisons director) Norman A. Carlson, who owned 34,894 shares as of June 8, 2015. 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