<p>The staff of the California Public Employees’ Retirement System, after an eight-month study, is recommending that the giant pension fund drop its ban on investing in tobacco stocks. CalPERS’ investment committee is expected to vote on the recommendation next Monday.</p>
<p>The reason behind the recommendation is simple: CalPERS needs the money. Its decision to dump its tobacco stocks in 2000, at a time when the industry was struggling under the weight of numerous lawsuits, has been a financial blunder, according to a lengthy staff memo to the CalPERS board.</p>