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NJ S2486

Bill

Status

Introduced

2/5/2024

Primary Sponsor

Shirley Turner

Click for details

Origin

Senate

2024-2025 Regular Session

AI Summary

  • Prohibits New Jersey's Division of Investment from investing any state pension or annuity fund assets in hedge funds or derivative contracts (including forwards, futures, options, and swaps)

  • Requires the State Investment Council and Division of Investment Director to divest all existing hedge fund and derivative holdings within three years of the bill's enactment

  • Mandates the Division of Investment Director to file a report with the Legislature within one year identifying all prohibited investments, followed by annual progress reports on divestiture

  • Grants legal immunity to State Investment Council members and state officers involved in decisions to reduce or eliminate these prohibited investments

  • Defines "hedge fund" as firms using absolute return strategies with leverage, performance-based fees, and non-public offerings, including those claiming exemptions under the Investment Company Act of 1940

Legislative Description

Prohibits investment by State of pension and annuity funds in hedge funds and derivative contracts.

State Government, Wagering, Tourism & Historic Preservation

Last Action

Introduced in the Senate, Referred to Senate State Government, Wagering, Tourism & Historic Preservation Committee

2/5/2024

Committee Referrals

State Government, Wagering, Tourism & Historic Preservation2/5/2024

Full Bill Text

No bill text available