Sec. 54.766. INVESTMENT OF FUND ASSETS. (a) The board shall provide for investing the assets of the fund. In investing the fund, the board has the same investment authority as that provided by Section 11b, Article VII, Texas Constitution, or other law, to the board of regents of The University of Texas System with respect to the investment of the Permanent University Fund. The board and the board of regents of The University of Texas System may contract for the board of regents to manage and invest the assets of the fund, and for that purpose the board may delegate its duties under this section to the board of regents.
(b) If the board does not contract with the board of regents of The University of Texas System under Subsection (a) to manage and invest the assets of the fund, the board shall contract with one or more private professional investment managers to serve as plan manager and to invest the assets of the fund on behalf of the board. In selecting a manager, the board must:
(1) select a person who has served as a professional investment manager for at least 10 years;
(2) evaluate each person considered for the position based on the historical net returns of the person's professional investments and the consistency of the person's professional investment returns over a period of at least five years; and
(3) comply with Section 54.704.
(c) In monitoring the manager's investments, the board shall ensure that investments are made according to the standard of investment provided by this section. The plan manager has the same duties imposed on a plan manager by Section 54.705.
(d) The board shall develop written objectives concerning the investment of the assets of the fund. The objectives may address desired rates of return, risks involved, investment time frames, and any other relevant considerations.
(e) The board may specify in a contract under this section that the plan manager is required to establish and maintain an Internet website through which a purchaser may monitor the account to which the purchaser's prepaid tuition contract money is assigned.
Added by Acts 2007, 80th Leg., R.S., Ch. 1281 (H.B. 3900), Sec. 1, eff. June 15, 2007.
Structure Texas Statutes
Subtitle A - Higher Education in General
Subchapter H. Prepaid Tuition Unit Undergraduate Education Program: Texas Tomorrow Fund Ii
Section 54.752. Powers and Duties of Board Concerning Program
Section 54.753. Prepaid Tuition Units: Purchase; Assigned Value; Types; Price
Section 54.754. Redemption of Tuition Units
Section 54.755. Prepaid Tuition Contract
Section 54.756. Purchaser; Beneficiary
Section 54.757. Contract Payment
Section 54.758. Deferred Use of Prepaid Credit Hours
Section 54.759. Change of Beneficiary
Section 54.760. Verification Under Oath
Section 54.761. Promise or Guarantee of Admission
Section 54.762. Contract Termination
Section 54.765. Comptroller's Duties; Transfers to Institutions on Redemption of Tuition Units
Section 54.766. Investment of Fund Assets
Section 54.767. Use of Fund Assets
Section 54.7671. Transfers Among 529 Plans
Section 54.768. Exemption From Securities Laws
Section 54.769. Exemption From Creditors' Claims
Section 54.770. Actuarial Soundness of Fund
Section 54.771. Compliance With Limits on Contributions and Withdrawals
Section 54.772. Tax Exempt Status Requirements
Section 54.773. Suspension of New Enrollment; Program Modification or Termination
Section 54.774. Effect of Program Termination on Contract
Section 54.775. Confidentiality
Section 54.776. Statement Regarding Status of Prepaid Tuition Contract