IL HB2620

Requires pension funds and retirement systems to use competitive procurement processes substantially similar to Illinois Procurement Code standards when selecting investment advisers or consultants, with limited exceptions for sole source, emergency, and contracts under $20,000.

Adds new exception allowing pension funds to hire follow-on funds with the same fund sponsor through closed-end funds at their discretion without competitive bidding.

Mandates investment adviser and consultant contracts include 12 specific provisions including fiduciary acknowledgment, full fee disclosure, quarterly reporting, identification of parent/subsidiary entities, and restrictions on contract duration (maximum 5 years, no renewals).

Requires existing investment advisers and consultants to disclose all direct and indirect fees, commissions, and compensation within 60 days of the act's effective date and update disclosures promptly when payments change.

Requires pension funds to post investment service contracts and uniform solicitation documents on their websites, including contractor names, total contract amounts, fees paid, and factors contributing to selection.