Texas 2011 - 82nd Regular

Texas Senate Bill SB1555

Filed
 
Out of Senate Committee
4/18/11  
Out of House Committee
 
Voted on by House
 
Governor Action
 
Bill Becomes Law
 

Caption

Relating to the investment of the permanent university fund and other funds under the management and control of the board of regents of The University of Texas System.

Impact

By mandating that investment contracts be awarded with a good faith effort towards engaging qualified emerging fund managers, this bill could lead to a significant shift in investment practices within the Texas university system. It promotes inclusivity within the investment community, aiming to foster competition and innovation among smaller, newer firms. The bill's provisions are designed to ensure that large financial services firms do not monopolize the investment landscape, thereby providing more equitable opportunities in the financial sector.

Summary

SB1555 focuses on the investment strategies for the Permanent University Fund and other funds managed by the University of Texas System. The bill emphasizes the need for increased participation of emerging fund managers in the awarding of investment contracts. This initiative aims to diversify the investment management landscape and promote financial opportunities for smaller investment firms that have traditionally been underrepresented in the market. The definitions provided in the bill clarify who qualifies as an 'emerging fund manager' and the types of financial services included under this category.

Contention

The discussions surrounding SB1555 highlight concerns regarding the implementation and potential unintended consequences of favoring emerging fund managers. Advocates argue that this measure is crucial for promoting diversity and ensuring that a broader range of investment strategies can be considered. However, critics might raise questions about the effectiveness of such an approach and whether it could inadvertently lead to the selection of less experienced managers. Balancing the promotion of new firms with the need for experienced management in high-stakes investment scenarios is a key tension that needs to be addressed.

Companion Bills

TX HB3192

Identical Relating to the investment of the permanent university fund and other funds under the management and control of the board of regents of The University of Texas System.

Previously Filed As

TX SB19

Relating to the administration and investment of, and distribution and use of money from, certain constitutional and statutory funds to support general academic teaching institutions in achieving national prominence as major research universities and driving the state economy; redesignating the national research university fund as the Texas University Fund.

TX SJR26

Proposing a constitutional amendment to entitle all component institutions of The Texas A&M University System and The University of Texas System to participate in the income and other benefits of the permanent university fund.

TX SJR49

Proposing a constitutional amendment creating a university research fund to support emerging research universities in The University of Texas System or The Texas A&M University System and disqualifying all component institutions of those university systems from receiving money from the national research university fund.

TX SB1489

Relating to prohibiting the investment of the permanent university fund, the national research university fund, or money held by a public institution of higher education in financial companies that boycott certain energy companies.

TX HJR189

Proposing a constitutional amendment reducing The University of Texas System's share of the income and other benefits of the permanent university fund, transferring to the national research university fund and general revenue fund a portion of the annual distribution made from the permanent university fund to the available university fund, appropriating the portion transferred to the national research university fund, and dedicating the portion transferred to the general revenue fund to provide for the support and maintenance of public institutions of higher education.

TX SB1055

Relating to the creation of a new university in Nacogdoches, Texas, within The University of Texas System and the allocation of the annual constitutional appropriation to certain agencies and institutions of higher education; abolishing Stephen F. Austin State University.

TX HB2639

Relating to the creation of a new university in Nacogdoches, Texas, within The University of Texas System and the allocation of the annual constitutional appropriation to certain agencies and institutions of higher education; abolishing Stephen F. Austin State University.

TX HB3619

Relating to prohibiting the investment of the permanent university fund, the national research university fund, or money held by a public institution of higher education in financial companies that boycott certain energy companies.

TX HJR3

Proposing a constitutional amendment relating to the Texas University Fund, which provides funding to certain institutions of higher education to achieve national prominence as major research universities and drive the state economy.

TX HB1595

Relating to the administration and investment of, and distribution and use of money from, certain constitutional and statutory funds to support general academic teaching institutions in achieving national prominence as major research universities and driving the state economy.

Similar Bills

No similar bills found.