To encourage divestiture of current investments in Iran and discourage future investments in Iran and to require disclosure to investors of information relating to such investments.

SECTION 1. UNITED STATES PENSION PLANS.

    (a) Findings.--Congress finds the following:
            (1) The United States and the international community face 
        no greater threat to their security than the prospect of rogue 
        regimes who support international terrorism obtaining weapons 
        of mass destruction, and particularly nuclear weapons.
            (2) Iran is the leading state sponsor of international 
        terrorism and is close to achieving nuclear weapons capability 
        but has paid no price for nearly twenty years of deception over 
        its nuclear program. Foreign entities that have invested in 
        Iran's energy sector, despite Iran's support of international 
        terrorism and its nuclear program, have afforded Iran a free 
        pass while many United States entities have unknowingly 
        invested in those same foreign entities.
            (3) United States investors have a great deal at stake in 
        preventing Iran from acquiring nuclear weapons.
            (4) United States investors can have considerable influence 
        over the commercial decisions of the foreign entities in which 
        they have invested.
    (b) Publication in Federal Register.--Not later than six months 
after the date of the enactment of this Act and every six months 
thereafter, the President shall ensure publication in the Federal 
Register of a list of all United States and foreign entities that have 
invested more than $20,000,000 in Iran's energy sector between August 
5, 1996, and the date of such publication. Such list shall include an 
itemization of individual investments of each such entity, including 
the dollar value, intended purpose, and current status of each such 
investment.
    (c) Sense of Congress Relating to Divestiture From Iran.--It is the 
sense of Congress that, upon publication of a list in the relevant 
Federal Register under subsection (b), managers of United States 
Government pension plans or thrift savings plans, managers of pension 
plans maintained in the private sector by plan sponsors in the United 
States, and managers of mutual funds sold or distributed in the United 
States should immediately initiate efforts to divest all investments of 
such plans or funds in any entity included on the list.
    (d) Sense of Congress Relating to Prohibition on Future 
Investment.--It is the sense of Congress that, upon publication of a 
list in the relevant Federal Register under subsection (b), there 
should be no future investment in any entity included on the list by 
managers of United States Government pension plans or thrift savings 
plans, managers of pension plans maintained in the private sector by 
plan sponsors in the United States, and managers of mutual funds sold 
or distributed in the United States.
    (e) Disclosure to Investors.--
            (1) In general.--Not later than 30 days after the date of 
        publication of a list in the relevant Federal Register under 
        subsection (b), managers of United States Government pension 
        plans or thrift savings plans, managers of pension plans 
        maintained in the private sector by plan sponsors in the United 
        States, and managers of mutual funds sold or distributed in the 
        United States shall notify investors that the funds of such 
        investors are invested in an entity included on the list. Such 
        notification shall contain the following information:
                    (A) The name or other identification of the entity.
                    (B) The amount of the investment in the entity.
                    (C) The potential liability to the entity if 
                sanctions are imposed by the United States on Iran or 
                on the entity.
                    (D) The potential liability to investors if such 
                sanctions are imposed.
            (2) Follow-up notification.--
                    (A) In general.--Except as provided in subparagraph 
                (C), in addition to the notification required under 
                paragraph (1), such managers shall also include such 
                notification in every prospectus and in every regularly 
                provided quarterly, semi-annual, or annual report 
                provided to investors, if the funds of such investors 
                are invested in an entity included on the list.
                    (B) Contents of notification.--The notification 
                described in subparagraph (A) shall be displayed 
                prominently in any such prospectus or report and shall 
                contain the information described in paragraph (1).
                    (C) Good-faith exception.--If, upon publication of 
                a list in the relevant Federal Register under 
                subsection (b), such managers verifiably divest all 
                investments of such plans or funds in any entity 
                included on the list and such managers do not initiate 
                any new investment in any other such entity, such 
                managers shall not be required to include the 
                notification described in subparagraph (A) in any 
                prospectus or report provided to investors.

SEC. 2. REPORT BY OFFICE OF GLOBAL SECURITY RISKS.

    Not later than 30 days after the date of publication of a list in 
the relevant Federal Register under section 206(b), the Office of 
Global Security Risks within the Division of Corporation Finance of the 
United States Securities and Exchange Commission shall issue a report 
containing a list of the United States and foreign entities identified 
in accordance with such section, a determination of whether or not the 
operations in Iran of any such entity constitute a political, economic, 
or other risk to the United States, and a determination of whether or 
not the entity faces United States litigation, sanctions, or similar 
circumstances that are reasonably likely to have a material adverse 
impact on the financial condition or operations of the entity.

Summary: Directs the President to ensure publication in the Federal Register of all US and foreign entities that have invested more than $20 million in Iran's energy sector between August 5, 1996, and the date of such publication. Requires such list to include an itemization of individual investments of each such entity. Expresses the sense of Congress that, upon such publication, managers of federal pension plans or thrift savings plans, managers of pension plans maintained in the private sector by plan sponsors in the United States, and managers of mutual funds sold or distributed in the United States should immediately initiate efforts to divest all investments of such plans or funds in any entity included on the list. Expresses the sense of Congress that, upon such publication, there should be no future investment in any entity included on the list by managers of US Government pension plans or thrift savings plans, managers of pension plans maintained in the private sector by plan sponsors in the United States, and managers of mutual funds sold or distributed in the United States. Requires disclosure to investors that their funds are invested in an entity included on such list. Requires the Office of Global Security Risks to issue a report listing the US and foreign entities identified in accordance with the relevant Federal Register, including a determination of whether or not: (1) their operations in Iran constitute a risk to the United States. And (2) the entity faces US litigation, sanctions, or similar circumstances that are reasonably likely to have a material adverse impact on the financial condition or operations of the entity.