The university says it will no longer invest in companies that "profit from genocide, ethnic cleansing, and activities that violate fundamental human rights."
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Students say they were told the university held no direct investments, but will be dumping $4.5 million in indirect investments.
VIDEO: SFSU president meets with pro-Palestinian student activists for open negotiation session
SFSU president meets with student activists for negotiation session
"If this is possible on one campus we have raised the bar nationwide, internationally, and a message to all students: don't ask for anything less," one member of Students for Quality Education said.
Student protesters are calling this a "win."
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They had been camped out for eight days prior to the decision by campus administration.