SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Promoting Fully Informed Investment 
Decision Making Act of 2007''.

SEC. 2. STATE SPONSOR OF TERRORISM DEFINED.

    In this Act, the term ``state sponsor of terrorism'' means any 
country, the government of which has been determined by the Secretary 
of State to have repeatedly provided support for acts of international 
terrorism pursuant to--
            (1) section 6(j)(1)(A) of the Export Administration Act of 
        1979 (50 U.S.C. App. 2405(j)(1)(A)) (or any successor thereto);
            (2) section 40(d) of the Arms Export Control Act (22 U.S.C. 
        2780(d)); or
            (3) section 620A(a) of the Foreign Assistance Act of 1961 
        (22 U.S.C. 2371(a)).

SEC. 3. SECURITIES AND EXCHANGE COMMISSION DISCLOSURE OF BUSINESS TIES 
              TO STATE SPONSORS OF TERROR.

    (a) Requirement for a Securities and Exchange Commission Report.--
Not later than 90 days after the date of enactment of this Act and 
annually thereafter, the Securities and Exchange Commission (in this 
Act referred to as the ``Commission'') shall prepare and submit to 
Congress a report on business activities carried out with state 
sponsors of terrorism.
    (b) Content.--The report required by subsection (a) shall include--
            (1) a list of all persons required to make periodic or 
        other filings pursuant to section 13(a) or 15(d) of the 
        Securities Exchange Act of 1934 (15 U.S.C. 78m(a), 78o(d)) that 
        disclose in filings with the Commission business activity in or 
        with a country that is a state sponsor of terrorism, or an 
        instrumentality of such a country;
            (2) a description of such business activities carried out 
        by each person referred to in paragraph (1);
            (3) the value of such activities carried out by each person 
        referred to in paragraph (1); and
            (4) a description of the disclosure standard in effect at 
        the time at which the content of the report was collected, if 
        it has changed from the time of the first or most recent report 
        submitted pursuant to subsection (a), and the criteria for 
        persons to register under section 12(g) of the Securities 
        Exchange Act of 1934 (15 U.S.C. 78l(g)).
    (c) Publication of Disclosure Data.--The Commission shall make the 
report required by this section available on its website in an easily 
accessible and searchable format, and shall regularly update the 
information on the website as new information becomes available to the 
Commission.
    (d) Strengthening Securities and Exchange Commission Disclosure 
Requirement.--Not later than 180 days after the date of enactment of 
this Act, the Commission shall issue regulations to require disclosure 
by all persons required to make periodic or other filings pursuant to 
section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 
U.S.C. 78m(a), 78o(d)) of business activity in an amount equal to more 
than $20,000,000, either directly or through an affiliate, in or with a 
country that is a state sponsor of terrorism, or an instrumentality of 
such country.

SEC. 4. GOVERNMENT ACCOUNTABILITY OFFICE REPORTS.

    (a) Evaluation of Securities and Exchange Commission Report.--Not 
later than 90 days after the date of delivery of the report of the 
Commission under section 3, and annually thereafter, the Comptroller 
General of the United States shall prepare and submit to Congress a 
report that evaluates the completeness of the report of the Commission 
under section 3, to include--
            (1) a list, in classified form, as necessary, of all 
        persons, including foreign persons, that are not included in 
        the report of the Commission under section 3 that are 
        identified by the intelligence community (as that term is 
        defined in section 3 of the National Security Act of 1947 (50 
        U.S.C. 401a)), the Secretary of Commerce, the Secretary of 
        Defense, the Secretary of Energy, the Secretary of State, the 
        Secretary of the Treasury, and other appropriate governmental 
        entities, as carrying out business activities in or with a 
        country that is a state sponsor of terrorism, or an 
        instrumentality of such a country;
            (2) a list of all persons, including foreign persons, that 
        are not included in the report of the Commission under section 
        3 that are identified by relevant nongovernmental entities as 
        carrying out business activities in or with a country that is a 
        state sponsor of terrorism, or an instrumentality of such a 
        country; and
            (3) a description of such business activities and the value 
        of such activities for all persons identified in paragraphs (1) 
        and (2).
    (b) Investment Report.--Not later than 120 days after the date of 
delivery of the report of the Commission under section 3, and annually 
thereafter, the Comptroller General of the United States shall prepare 
and submit to Congress, a report--
            (1) that contains the names of persons described in section 
        3(b)(1) that are included in each of the major investable 
        financial market indices and the holdings of the Federal Thrift 
        Savings Plan of the Federal Retirement Thrift Investment Board 
        (in this subsection referred to as the ``TSP''), including--
                    (A) the percentage of each such index and TSP 
                holdings comprised of such persons; and
                    (B) the dollar capitalization of each such person;
            (2) that contains, in classified form, as necessary, the 
        names of persons described in paragraphs (1) and (2) of 
        subsection (a) that are included in each of the major 
        investable financial market indices and the holdings of the 
        TSP, including--
                    (A) the percentage of each such index and TSP 
                holdings comprised of such persons; and
                    (B) the dollar capitalization of each such person; 
                and
            (3) the unclassified portion of which is made available on 
        the website of the Government Accountability Office in an 
        easily accessible and searchable format.
    (c) Government Contracting Report.--Not later than 120 days after 
the date of delivery of the report of the Commission under section 3, 
and annually thereafter, the Comptroller General of the United States 
shall prepare and submit to Congress, a report--
            (1) that contains the names of the persons described in 
        section 3(b)(1), the nature of the activity, and the value of 
        United States Government active contracting for the procurement 
        of goods or services with any such person;
            (2) that contains, in classified form, as necessary, the 
        names of persons described in paragraphs (1) and (2) of 
        subsection (a), the nature of the activity, and the value of 
        United States Government active contracting for the procurement 
        of goods or services with any such person; and
            (3) the unclassified portion of which is made available on 
        the website of the Government Accountability Office in an 
        easily accessible and searchable format.

SEC. 5. SENSE OF CONGRESS REGARDING ENCOURAGEMENT FOR FOREIGN EXCHANGES 
              TO STRENGTHEN DISCLOSURE REQUIREMENTS.

    It is the sense of the Congress that the United States Trade 
Representative, the Chairman of the Commission, the Secretary of State, 
and other relevant representatives of the United States Government 
should encourage United States allies to implement disclosure standards 
that are similar to those required by this Act for the securities 
exchanges of those countries.

SEC. 6. AUTHORIZATION FOR CERTAIN DIVESTMENT MEASURES.

    (a) Investment Company Act of 1940.--Section 13 of the Investment 
Company Act of 1940 (15 U.S.C. 80a-13) is amended by adding at the end 
the following:
    ``(c) Safe Harbor for Changes in Investment Policies.--
            ``(1) In general.--Notwithstanding any other provision of 
        Federal or State law, no person may bring any civil, criminal, 
        or administrative action against any registered investment 
        company or person providing services to such registered 
        investment company (including its investment adviser), or any 
        employee, officer, or director thereof, based solely upon the 
        investment company divesting from, or avoiding investing in, 
        securities issued by persons that have business ties to a state 
        sponsor of terrorism.
            ``(2) Definition.--For purposes of this subsection, the 
        term `person' includes the Federal Government and any State or 
        political subdivision of a State.''.
Output: Promoting Fully Informed Investment Decision Making Act of 2007 - Directs the Securities and Exchange Commission (SEC) to: (1) report to Congress on business activities carried out with state sponsors of terrorism; and (2) issue regulations to require disclosure by all persons required to make filings under the Securities Exchange Act of 1934 regarding any business activity of more than $20 million in or with a country that is a state sponsor of terrorism, or an instrumentality of such country.

Instructs the Comptroller General to report to Congress on: (1) the completeness of the SEC report; (2) the names of such persons included in each of the major investable financial market indices and the holdings of the Federal Thrift Savings Plan; and (3) the nature of the activities concerned, and the value of U.S. government active contracting with such persons for the procurement of goods or services.

Expresses the sense of Congress that the U.S. Trade Representative, the Chairman of the SEC, the Secretary of State, and other relevant representatives of the U.S. government should encourage U.S. allies to implement disclosure standards similar to those required by this Act for the securities exchanges of those countries.

Amends the Investment Company Act of 1940 to prohibit civil, criminal, or administrative action against any registered investment company based solely upon its divesting from, or avoiding investing in, securities issued by persons that have business ties to a state sponsor of terrorism.