New York State Comptroller vows to keep Israel bond holdings despite city divestment shift

Tom DiNapoli, the Democratic New York State Comptroller seeking a fifth term, announced that his office will keep Israel government bonds in the state’s $309.7 billion pension portfolio, despite a rising divestment push from pro-Palestinian groups and Mayor Zohran Mamdani. The state’s pension fund holds over $360 million in Israeli bonds, a figure that has not been altered. In contrast, New York City Comptroller Mark Levine, also a Democrat, said he will not reinvest city pension assets in Israel bonds, a reversal from a campaign promise he made last year.

Levine said the decision is driven by financial, not political, factors, even though he previously argued that a diversified portfolio should include Israeli investments. Former Brooklyn assemblyman and anti-antisemitism activist Dov Hikind applauded DiNapoli’s stance and accused Levine of succumbing to activist pressure. The city’s pension system still retains other Israel-based fixed-income holdings, though not the sovereign bonds. DiNapoli faces a Republican challenger, Joseph Hernandez, in the upcoming election.