HB 2346 Summary

• Requires alternative investment managers receiving capital from Arizona retirement system boards to file annual disclosures with the state treasurer detailing all fees, expenses, and compensation since inception and for one, five, and ten-year periods.

• Mandates disclosure of management fees, carried interest, portfolio holding fees, management fee waivers, indemnification amounts, gross and net rates of return, and executive compensation for named officers.

• Applies to all new contracts entered into after December 31, 2018, and to existing contracts receiving new capital commitments, amendments, renewals, or extensions after that date.

• Requires alternative investment managers to provide investment agreements including provisions on fee waivers, indemnifications, and clawbacks to the state treasurer within ninety days of entering into an agreement.

• Directs the state treasurer to submit an annual report by June 30 to the joint legislative budget committee and maintain all received information on the public website.