CA AB130

Authorizes California State University campus treasurers and chief fiscal officers to invest money in mutual funds registered with the Securities and Exchange Commission and real estate investment trusts, in addition to existing eligible securities.

Establishes investment caps: $200 million (fiscal year 2017), $400 million (2018), $600 million (2019), and up to 30% of invested funds (2020 and thereafter).

Requires CSU Trustees to establish an investment committee with a majority of members having investment expertise and not employed by CSU, with authority to approve non-traditional investments.

Mandates quarterly investment performance reports to the Trustees and annual reports to the Legislature and Department of Finance, including returns, benchmarks, holdings, and fees.

Prohibits CSU from requesting state funds to cover investment losses or citing investment losses to justify increases in student tuition or fees; additional earnings must be used only for capital outlay or maintenance.