N.Y. RSS Law § 423-C — New York Code / Act RSS / Article 9 / Section 423-C
MWBE asset management and financial institution strategy
Status: in_force

§ 423-c. MWBE asset management and financial institution strategy. 1.\nWithin the discretion of the state comptroller and in accordance with\nand subject to his or her fiduciary duties and obligations as trustee of\nthe common retirement fund and to the members, retirees and\nbeneficiaries of such fund and such other investment limitations as may\nbe prescribed by this chapter, the comptroller is authorized to\nestablish an MWBE asset management and financial institution strategy\nincluding reasonable goals for utilization of MWBE asset managers, MWBE\nfinancial institutions and MWBE financial and professional service\nfirms, which strategy shall include, but shall not be limited to, the\nfollowing objectives:\n  (a) investing assets of the common retirement fund with MWBE asset\nmanagers;\n  (b) subject to best execution: (i) conducting trades of public equity\nsecurities with MWBE financial institutions; and (ii) conducting trades\nof fixed-income securities through MWBE financial institutions;\n  (c) allocating investments of assets of the common retirement fund\neither through: (i) direct investments in the equities and debt\nsecurities of MWBEs; or (ii) indirectly through special programs\ninvolving MWBE asset managers; and\n  (d) awarding contracts for accounting, banking, financial advisory,\ninsurance, legal, research, valuation and other financial and\nprofessional services to MWBE financial institutions and other MWBE\nprofessional service firms.\n  2. The comptroller is also authorized to: (a) periodically advertise\nthe existence of the strategy established in this section so that MWBE\nasset managers, MWBE financial institutions and other MWBE professional\nservice firms are made aware of the opportunities made available\npursuant to such strategy;\n  (b) within sixty days of the end of each fiscal year following the\neffective date of this section, the state comptroller shall report to\nthe governor, legislature and the chief diversity officer of the state\nof New York on the participation of MWBE asset managers, MWBE financial\ninstitutions and MWBE professional service providers in investment and\nbrokerage transactions with or as providers of services for the common\nretirement fund, including a comparative analysis of such activity\nrelative to such activity with all asset managers, financial\ninstitutions and professional service providers for the relevant period\nand on the progress and success of the efforts undertaken during such\nperiod to achieve the goals of such strategy. Each report shall be\nsimultaneously published on the website of the common retirement fund\nfor not less than sixty days following its release to the governor and\nthe other recipients named above;\n  (c) work with the other fiduciary-controlled entities to create a\ndatabase of such MWBE entities; and\n  (d) periodically, but not less than annually, hold a conference to\npromote such strategy in conjunction with the other fiduciary-controlled\nentities.\n  3. (a) The state comptroller shall establish and adopt a certification\nprocess and guidelines for the sole purpose of identification and\nreporting on MWBE firms providing asset management, brokerage, or other\nfinancial or professional services as such term is defined in\nsubdivision six of section one hundred seventy-six of this chapter. Such\ncertification shall differentiate and the comptroller shall maintain\nseparate categories for MWBE asset managers meeting the criteria of\nsubparagraph (i) of paragraph (a) of subdivision six of section one\nhundred seventy-six of this chapter and MWBE asset managers meeting the\ncriteria of subparagraph (ii) of paragraph (a) of such subdivision.\n  (b) Such certification process shall include, but need not be limited\nto, a request for the following information relating to each managing\nprincipal, principal, operating principal, chief financial officer,\noperating vice-president, vice-president, partner, owner and employee\nassociated with a prospective MWBE entity:\n  (i) title;\n  (ii) position;\n  (iii) ownership percentage;\n  (iv) ethnicity;\n  (v) gender; and\n  (vi) length of service.\n