TX Govt Code § 845.301 (2021)
2021 Texas Statutes|Government Code|Title 8 - Public Retirement Systems|Subtitle F - Texas County and District Retirement System|Chapter 845 - Administration|Subchapter D. Management of Assets|Section 845.301. Investment of Assets

Sec. 845.301.  INVESTMENT OF ASSETS.  (a)  The assets of the retirement system shall be invested and reinvested without distinction as to their source in accordance with Section 67, Article XVI, Texas Constitution.  For purposes of the investment authority of the board of trustees under Section 67, Article XVI, Texas Constitution, "securities" means any investment instrument within the meaning of the term as defined by Section 4001.068, 15 U.S.C. Section 77b(a)(1), or 15 U.S.C. Section 78c(a)(10).  An interest in a limited partnership or investment contract is considered a security without regard to the number of investors or the control, access to information, or rights granted to or retained by the retirement system.  Any instrument or contract intended to manage transaction, currency exchange, or interest rate risk in purchasing, selling, or holding securities, or that derives all or substantially all of its value from the value or performance of one or more securities, including an index or group of securities, is considered to be a security.  Investment decisions are subject to the standard provided in the Texas Trust Code by Section 117.004(b), Property Code.(a-1)  Notwithstanding any provision of Chapter 551 or any other law, the board of trustees may discuss an investment or potential investment with one or more employees of the retirement system or with a third party to the extent permitted to the board of trustees of the Texas growth fund under Section 551.075.(b)  The board of trustees shall exercise control of the investment operations by employing an investment officer, who shall supervise the investment operations for the board of trustees.  The investment officer shall prepare and submit to the board for review, amendment, and adoption an itemized budget showing the amount required to pay the investment expenses of the retirement system for the following fiscal year.(c)  The board of trustees, acting on the recommendations of the investment officer, may contract with private professional investment managers to assist in investing the assets of the retirement system.  The board of trustees also has the authority set forth in Section 802.204 to appoint investment managers for the retirement system, with the effect described by Section 802.203(c).(d)  The board of trustees shall employ one or more performance measurement services to evaluate and analyze the investment results of those assets of the retirement system for which reliable and appropriate measurement methodology and procedures exist.  Each service shall compare investment results with the written investment objectives developed by the board of trustees and shall also compare the investment of assets being evaluated and analyzed with the investment of other public funds.(e)  The assets of the retirement system may be held in the name of agents, nominees, depository trust companies, or other entities designated by the board of trustees.  The records and all relevant reports or accounts of the retirement system must show the ownership interests of the retirement system in these assets and the facts regarding the system's holdings.(f)  The board of trustees shall establish written investment objectives concerning the investment of assets of the retirement system.|Added by Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1, 1981.  Amended by Acts 1985, 69th Leg., ch. 542, Sec. 7, eff. Aug. 26, 1985.  Renumbered from Vernon's Ann.Civ.St. Title 110B, Sec. 55.301 and amended by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff. Sept. 1, 1989.  Amended by Acts 1991, 72nd Leg., ch. 408, Sec. 4, eff. Aug. 26, 1991;  Acts 1993, 73rd Leg., ch. 175, Sec. 20, eff. Jan. 1, 1994;  Acts 1993, 73rd Leg., ch. 858, Sec. 3, eff. June 18, 1993;  Acts 1995, 74th Leg., ch. 245, Sec. 33, eff. May 27, 1995;  Acts 1997, 75th Leg., ch. 309, Sec. 21, eff. Dec. 1, 1997;  Acts 1999, 76th Leg., ch. 427, Sec. 50, eff. Dec. 31, 1999;  Acts 2003, 78th Leg., ch. 1103, Sec. 13, eff. Jan. 1, 2004;  Acts 2003, 78th Leg., 3rd C.S., ch. 3, Sec. 15.01, eff. Jan. 11, 2004.Amended by: Acts 2007, 80th Leg., R.S., Ch. 873 (H.B. 1587), Sec. 74, eff. January 1, 2008.Acts 2019, 86th Leg., R.S., Ch. 491 (H.B. 4171), Sec. 2.23, eff. January 1, 2022.|