Sec. 2270.0207. INVESTMENTS EXEMPTED FROM DIVESTMENT. An investing entity is not required to divest from any indirect holdings in actively managed investment funds or private equity funds. The investing entity shall submit letters to the managers of investment funds containing listed companies requesting that they consider removing those companies from the fund or create a similar actively managed fund with indirect holdings devoid of listed companies. If the manager creates a similar fund with substantially the same management fees and same level of investment risk, the investing entity shall replace all applicable investments with investments in the similar fund in an expedited time frame consistent with prudent fiduciary standards.
Added by Acts 2007, 80th Leg., R.S., Ch. 1375 (S.B. 247), Sec. 2, eff. January 1, 2008.
Transferred, redesignated and amended from Government Code, Chapter 806 by Acts 2017, 85th Leg., R.S., Ch. 96 (S.B. 253), Sec. 4, eff. May 23, 2017.
Structure Texas Statutes
Subtitle F - State and Local Contracts and Fund Management
Chapter 2270 - Prohibition on Investing Public Money in Certain Investments
Subchapter E. Duties Regarding Investments
Section 2270.0201. Listed Companies
Section 2270.0202. Identification of Investment in Listed Companies
Section 2270.0203. Notice to Listed Company Engaged in Inactive Business Operations
Section 2270.0204. Actions Relating to Listed Company Engaged in Active Business Operations
Section 2270.0205. Actions Relating to Listed Company Complicit in Genocide
Section 2270.0206. Divestment of Assets
Section 2270.0207. Investments Exempted From Divestment
Section 2270.0208. Authorized Investment in Listed Companies