BILL NUMBER: AB 1913	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  APRIL 5, 2010

INTRODUCED BY   Assembly Member Davis

                        FEBRUARY 16, 2010

   An act  to add Section 20139 to the Government Code, 
relating to retirement.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1913, as amended, Davis. Retirement: pension fund.
   The Public Employees' Retirement Law creates the Public Employees'
Retirement Fund, which is a trust fund created and administered
solely for the benefit of the members and retired members of this
system and their survivors and beneficiaries. The Board of
Administration of the Public Employees' Retirement System has the
exclusive control of the administration and investment of the
retirement fund.
   This bill would  declare the intent of the Legislature to
enact legislation to encourage equal opportunity, and to establish
quantifiable goals, for state pension fund utilization of emerging
investment managers in the management of assets in specific asset
classes   require the board, on or before January 1,
2012, to adopt a policy that sets forth a goal to utilize  
emerging investment managers, as defined, to manage 10% of its total
investment portfolio  .
   Vote: majority. Appropriation: no. Fiscal committee:  no
  yes  . State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

   SECTION 1.    Section 20139 is added to the 
 Government Code   , to read:  
   20139.  (a) On or before January 1, 2012, the board shall adopt a
policy that sets forth a goal to utilize emerging investment managers
to manage 10 percent of its total investment portfolio. This policy
shall include quantifiable goals for the management of assets in
specific asset classes by emerging investment managers.
   (b) For purposes of this section, the following definitions shall
apply:
   (1) "Disadvantaged business enterprise" means small business
concerns that are at least 51 percent owned and controlled by
socially and economically disadvantaged individuals.
   (2) "Emerging investment manager" means a qualified investment
adviser that manages an investment portfolio of at least ten million
dollars ($10,000,000) but less than one billion dollars
($1,000,000,000) and is a disadvantaged enterprise.  
  SECTION 1.    It is the intent of the Legislature
to enact legislation to encourage equal opportunity, and to establish
quantifiable goals, for state pension fund utilization of emerging
investment managers in the management of assets in specific asset
classes.