I 

116TH CONGRESS 

1ST SESSION H. R. 2903 

To amend title 5, United States Code, to prohibit the International Stock 

Index Investment Fund of the Thrift Savings Fund from investing in 

any entity in peer or near-peer competitor nations as outlined in the 

National Defense Strategy, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

MAY 22, 2019 

Mr. BANKS introduced the following bill; which was referred to the Committee 

on Oversight and Reform 

A BILL 

To amend title 5, United States Code, to prohibit the International Stock Index Investment Fund of the Thrift Savings Fund from investing in any entity in peer or nearpeer competitor nations as outlined in the National Defense Strategy, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE; FINDINGS. 

4 (a) SHORT TITLE.—This Act may be cited as the 

5 ‘‘Blocking Investment In Our Adversaries Act’’. 

6 (b) FINDINGS.—Congress finds the following: 


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1 (1) Federal retirement plans, including the 

2 Thrift Savings Plan, invest a total of over $550 bil3 lion on behalf of their plan participants. With such 

4 an influence, it is critical that U.S. Federal pension 

5 plans do not contribute to stock earnings for compa6 nies demonstrated to be linked to the economies of 

7 peer or near-peer competitors, as outlined in the Na8 tional Defense Strategy. 

9 (2) Large sector international companies such 

10 as Huawei have repeatedly committed numerous 

11 crimes such as corporate espionage, violations of 

12 US-imposed sanctions, violations of international 

13 property law, and theft. 

14 (3) The Thrift Savings Plan is the preeminent 

15 retirement plan for Federal government employees. 

16 The plan is especially beneficial due to its low serv17 ice fees and high historical returns. The provisions 

18 outlined in this Act will not increase fees imposed on 

19 clients of the Thrift Savings Plan. 

20 (4) Congress acknowledges the conflict between 

21 fiduciary duties of financial investment firms and 

22 the responsibility to ensure national security. 

23 (5) The November 2017 selection of the MSCI 

24 ACWI Index by the Federal Retirement Thrift InVerDate Sep 11 2014 06:06 Jun 05, 2019 Jkt 089200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H2903.IH H2903

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1 vestment Board, to be effective in 2020, violates the 

2 terms of this Act, as outlined in section 2. 

3 SEC. 2. PROHIBITION ON INVESTMENT OF TSP I FUND IN 

4 PEER AND NEAR-PEER COMPETITORS. 

5 (a) IN GENERAL.—Section 8438(b)(4) of title 5, 

6 United States Code, is amended by adding at the end the 

7 following: 

8 ‘‘(C) The index selected by the Board under subpara9 graph (A) may not include investments in any stock of 

10 an entity based in a peer or near-peer competitor, includ11 ing China or Russia.’’. 

12 (b) DIVESTITURE OF ASSETS.—Not later than 30 

13 days after the date of the enactment of this Act, the Fed14 eral Retirement Thrift Investment Board (as established 

15 under section 8472(a) of title 5, United States Code), in 

16 consultation with the manager of the Thrift Savings Fund, 

17 shall— 

18 (1) review whether any sums in the Thrift Sav19 ings Fund are invested in contravention of subpara20 graph (C) of section 8438(b)(4) of such title, as 

21 added by subsection (a); 

22 (2) if any sums are so invested, and consistent 

23 with the legal and fiduciary duties provided under 

24 chapter 84 of such title or any other provision of 

25 law, divest such sums; and 


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1 (3) re-invest the divested sums in investments 

2 that do not contradict such subparagraph. 

Æ 


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