Connecticut Administrative Code › Title 3 - State Elective Officers › 11 - Description of Organization-Rules of Procedure › Article I - Organization of Agency › Section 3-11-3 - Course and method of operations

Current through July 10, 2024
(a)
Executive Office of the Treasurer.
The Treasurer has overall responsibility for the operation of the Office and provides supervision and direction with regard to all activities of the Office. By statute, the Treasurer is required to appoint a Deputy, who performs all duties of the Treasurer in case of the sickness or absence of the Treasurer. With the advice and consent of the Investment Advisory Council, the Treasurer appoints a Chief Investment Officer who, under the direction of the Treasurer, advises the Treasurer on investing the State's pension and trust fund's portfolio. In addition, the Treasurer appoints Assistant Treasurers, a General Counsel and Chief Compliance Officer who, under the direction of the Treasurer, advise the Treasurer on the investment of funds of the State, oversee the general financing procedure in the borrowing of money by the State, administer the State's unclaimed property program, the Second Injury Fund and the Connecticut Higher Education Trust, and perform such other duties as the Treasurer may direct.
(b)
Pension Funds Management Division.
In accordance with the Investment Policy Statement adopted by the Treasurer and approved by the Investment Advisory Council pursuant to section 3-13b of the Connecticut General Statutes, the division manages the invested assets of the State's pension and trust funds for which the Treasurer is the principal trustee.
The division is responsible for oversight of invested assets, either directly or through external investment managers retained by the Treasurer, as well as development of investment strategy and policy, and performs the following duties:
(1) The division monitors compliance with the asset allocation strategy adopted in the Investment Policy Statement, and manages asset rebalancing as required. Asset classes include public equities, fixed income, private equity, real estate and alternative investments. Investments are made in domestic, international and emerging markets.
(2) If the Treasurer determines to engage the services of external investment managers, staff will assist in the oversight and management of such managers, monitor contract compliance, evaluate manager and investment performance and make recommendations regarding the retention or termination of such managers.
(3) Staff performs risk management functions, including developing and managing processes for examining a broad spectrum of investment and operational risks across asset classes and investment programs.
(4) Operational functions performed by division staff include investment accounting for pension fund assets, reconciling financial reports of the master custodian bank on investment funds, and providing financial statements to the Treasurer and the Chief Investment Officer.
(5) At the direction of the Treasurer, the division may perform oversight in the selection and review of investment options available to Account Owners in the Connecticut Higher Education Trust.