2007 Minnesota Statutes

11A.17 MINNESOTA SUPPLEMENTAL INVESTMENT FUND.
    Subdivision 1. Purpose. The purpose of the supplemental investment fund is to provide an
investment vehicle for the assets of various public retirement plans and funds. The fund consists
of seven investment accounts: an income share account, a growth share account, an international
share account, a money market account, a fixed interest account, a bond market account, and
a common stock index account. The supplemental investment fund is a continuation of the
supplemental retirement fund in existence on January 1, 1980.
    Subd. 2. Assets. The assets of the supplemental investment fund shall consist of the money
certified and transmitted to the state board from the participating public retirement plans and
funds or from the board of the Minnesota State Colleges and Universities under section 136F.45.
The assets must be used to purchase investment shares in the investment accounts specified by
the plan or fund. These accounts must be valued at least on a monthly basis but may be valued
more frequently as determined by the State Board of Investment.
    Subd. 3. Management. The supplemental investment fund shall be managed by the state
board.
    Subd. 4. Investment. The assets of the supplemental investment fund must be invested by
the state board subject to section 11A.24; provided, however, that:
(1) the bond market account and the money market account must be invested entirely
in debt obligations;
(2) the growth share account and the common stock index account may be invested entirely
in corporate stocks;
(3) the international share account may be invested entirely in international stocks; and
(4) the fixed interest account may be invested in guaranteed investment contracts and debt
obligations.
    Subd. 5. Participating public retirement plans or funds. Any public retirement plan
or fund authorized or required by law to invest its assets in the supplemental investment fund
may from time to time as provided by law certify moneys to the state board for the purchase of
investment shares in the investment accounts of the supplemental investment account. The state
board shall credit each purchase of investment shares to the appropriate participating public
retirement plan or fund and shall confirm each purchase in writing to the appropriate plan or fund.
Each participating public retirement plan or fund shall maintain adequate records to account for
money certified to the supplemental investment fund.
    Subd. 6. Participation in fund. Each public retirement plan or fund which has certified
money to the state board for investment in the supplemental investment fund shall have a
participation in each investment account of the fund in which it has money invested. The
participation shall be determined by the ratio of the number of shares credited to the public
retirement plan or fund to the total number of shares in that account.
    Subd. 7. Purchase of shares. The state board shall allocate shares in the investment account
or accounts at least monthly following the receipt of the funds for purchase of shares from the
public retirement plan or fund as specified in the certification. The purchase price for shares shall
be determined using the procedure specified in subdivision 9.
    Subd. 8. Redemption of shares. The state board shall redeem shares in the investment
account or accounts on the first business day after the valuation date next following the receipt of
the request for redemption of shares from the public retirement plan or fund. The redemption
value for shares shall be determined using the procedure specified in subdivision 9. Money
representing the value of the redeemed shares shall be transmitted to the public retirement plan
or fund making the request.
    Subd. 9. Valuation of investment shares. The value of investment shares in the income
share account, the growth share account, the international share account, the bond market account,
and the common stock index account must be determined by dividing the total market value of the
securities constituting the respective account by the total number of shares then outstanding in
the investment account. The value of investment shares in the money market account and the
fixed interest account is $1 a share. Terms as to withdrawal schedules will be agreed upon by
the public retirement fund and the state board.
    Subd. 10. Certifications for investment and requests for redemption. The state board may
specify the required forms for certifications of money for investment and requests for redemption
of investment shares and may require the filing of any other documents which it deems necessary.
    Subd. 10a.[Repealed, 1998 c 390 art 2 s 21 para (a)]
    Subd. 11. Prospectus. Annually, by July 2, the state board shall prepare and shall issue a
prospectus for the supplemental investment fund with separate exhibits for each investment
account. The exhibit for each account must include its investment objectives, asset allocation, and
past investment performance. Upon request, the board shall provide a list of each security in the
fund and show the following items, whichever are applicable:
(1) the purchase price of the security;
(2) the current market value of the security;
(3) the current dividend or interest rate of the security;
(4) the rating of a debt security issued by a nationally recognized rating agency if it is other
than a security issued or guaranteed by the United States government.
The state board shall transmit sufficient copies of the prospectus to each public retirement
plan or fund participating in the supplemental investment account to meet the plan or fund's
distribution requirements. Ten copies of the prospectus must be filed with the director of the
legislative reference library.
    Subd. 12.[Repealed, 1988 c 453 s 12]
    Subd. 13.[Repealed, 1988 c 453 s 12]
    Subd. 14.[Repealed, 1998 c 390 art 2 s 21 para (a)]
History: 1980 c 607 art 14 s 15; 1981 c 208 s 1; 1981 c 224 s 14; 1983 c 324 s 3; 1985 c
224 s 2; 1986 c 356 s 1-5; 1988 c 453 s 1-5; 1992 c 539 s 3-7; 1994 c 604 art 1 s 1-5; 1998 c
390 art 2 s 2; 1Sp2003 c 12 art 2 s 1