|
<br />(II) a listing of (Jaily transaction activity ofthe entity participating in the pool;
<br />(I) the yicl.d and expense ratio onhe pool;
<br />0) the portfolio managers o[the pool; and
<br />(K) any changes or addenda to the offering circlllar,
<br />
<br />(d) An entity by contract may delegate to an investment pool the authority to hold legal title as custodian of
<br />investments purchased with its local funds,
<br />
<br />(e) In this section. "y kid" shall he calculated in accordance with regulations governing the registration of open-
<br />cnd management investment companies under the Investment Company Act of 1940. as prolllulgated frolll time to time
<br />by the federal Securities and Exchange CommiSSion,
<br />
<br />(t) To be eligible to receive funds trom and invest funds on behalfofan entity under this chapter, a public funds
<br />investment pool created to function as a money rn,irkct mutual fund must mark i.ts portfolio 10 market daily. and, to the
<br />extcnt reasonably possiblc. stabilize 3l a SI netassel value. lrlhe ratio ofthe market value of the portfolio divided h) the
<br />book value of the portfolio is less than (1.<)95 or greater than \ .005, portfolio holdings shall be sold as necessary to
<br />maintain the ralio belween 0.995 and 1,005.
<br />
<br />(gJ To be eligible \() receive funds from and invest funds on behalf of an entity lmder this chapter, a publk
<br />limds investment pool must have un advisory board composed:
<br />\ I) equfllly of participants in the pool and other persons who do not have a business relationship with
<br />the pool and are qualified to advise the pool, for a public funds inveslrnent pool created under Chapter 791 and managed
<br />by a Mate agency; or
<br />(2) of participants in the pool and other persons who do not have a business relationship with the: pool
<br />and are qualified to advise the pool, for other invcstment pools,
<br />
<br />(h) To maintain eligibility to receive funds from and invesl funds on behalf of an entity under this chapter, an
<br />investment pool must be continuously rated no lower than AAA or AAA-m or at an equivalent fating b} at least one
<br />nationally recognized rating service,
<br />..\mended by Acts ]995. 74th Leg., eh. 402. See, 1, etT. Sept. L 1995; A.cts 1997. 75th Leg.. eh. 1421. See, 9, efr. Sept.
<br />1.1997.
<br />
<br />Sec. 2256,017. EX.ISTING INVESTME"\TS, An emit) is riot required to liquidate investments that were
<br />authorized investments at the time of purchase,
<br />Added by Acts 1995, 741h Leg., ch, 76, See, 5.461<1/, err. Sept. I. ] 995: Acts 1995, 74th Leg_, ch. 402, Sec. 1. efr Sept.
<br />1,1995, A.mended by Acts 1997. 75th Leg., ch, 1421. Sec. 10. eff, Sept. I. 1997,
<br />
<br />Sec. 2256.0] 9, RATING OF CERTAI}; 1~VESTi'dENT POOLS, A public [Llnds investment pool must be
<br />continuously rated no lower than AAA or AAA-m or at an equivalent rating by at least one naticnally recognized rating
<br />service or no lower than invesunent grade by atlcast olle nationally rccugnized rating ,en ice with a weigbted a\crage
<br />maturity no greater than 90 days.
<br />Added by Acts \ 995, 74th Leg" cbAO:!. See, L efT Sept. 1.1995, Amended by Acts 1997_ 75th Leg_, eh, 1421. Sec. 11.
<br />eff. Sept. I, 1997.
<br />
<br />Sec. 2256,020, At THORlZED INVESTMENTS: INSTITUTIONS OF HIGHER EDUCA TION, In addition
<br />to the authorized investments permitted by this subchapter. an institution ofhighel' education may purchase, sell, and
<br />invest its funds and funds under its control in the fol1mving:
<br />
<br />(II cash management and fixed income funds sponsored by organizations exempt from federal income
<br />taxaTion under Section 501(0, Internal Revenue Code of 1986 (16 t.S,C. Section 501(f));
<br />
<br />(2) negotiable certificates of depDsit issued by a bank that has a certificate of deposit rating of at least
<br />
<br />Page 28
<br />
<br />ty ;'J.f San I.iaL:: ,3 lLvest;:Jent F'_Jl.1.cV
<br />
|