CA AB2422

Authorizes California State University chief fiscal officers to invest funds in institutional commingled funds and exchange-traded funds (in addition to existing mutual funds and real estate investment trusts), all subject to Securities and Exchange Commission registration and regulatory authority.

Limits real estate investment trust investments to publicly traded trusts registered with the Securities and Exchange Commission.

Increases the investment limit for non-traditional securities from 30% to 65% of invested moneys, effective with the 2022-23 fiscal year.

Requires the trustees to establish an investment advisory committee with a majority of non-CSU employees who have investment expertise, with the State Treasurer able to participate.

Requires quarterly investment performance reports to the trustees and annual reports to the Legislature detailing returns, benchmarks, holdings, market values, and fees; prohibits using investment losses to justify tuition increases or course section reductions.