This bill mandates the State Board of Investment to develop a comprehensive policy for emerging, diverse, start-up, and franchise investment managers, as outlined in the newly proposed section 11A.238. The policy must establish quantitative goals for the inclusion of these managers across various asset classes and include procedures for outreach, application processes, and the use of manager-of-managers structures. Additionally, the bill allows the board to waive certain requirements for diverse investment managers and authorizes seed-stage commitments to start-up funds, provided these actions align with prudent investment practices.

Furthermore, the bill requires the State Board of Investment to report annually on its engagement with emerging and diverse investment managers, detailing the number of managers engaged, total assets managed, performance metrics, and outreach efforts. The board is also tasked with ensuring that its investment authority aligns with the newly created policy. The bill amends existing statutes to incorporate these provisions, enhancing transparency and promoting diversity in investment management within the state.

Statutes affected:
Introduction: 11A.24