78.790 Board trustee of funds -- Investments -- Registration of securities -- Investment committee of funds -- Cap on amount of assets managed by any one investment manager.
<br><br>78.790 Board trustee of funds -- Investments -- Registration of securities -- <br>Investment committee of funds -- Cap on amount of assets managed by any one <br>investment manager. <br>(1) The board shall be the trustee of the several funds created by KRS 78.510 to 78.852, <br>and shall have full power to invest and reinvest such funds subject to the limitations <br>that no investments shall be made except upon the exercise of bona fide discretion, <br>in securities which, at the time of making the investment, are, by law, permitted for <br>the investment of funds by fiduciaries in this state except that the board may, at its <br>discretion, purchase common stocks in corporations that do not have a record of <br>paying dividends to their stockholders. Subject to such limitations, the board shall <br>have full power to hold, purchase, sell, assign, transfer or dispose of any of the <br>securities or investments in which any of the funds created herein have been <br>invested, as well as of the proceeds of such investments and any moneys belonging <br>to such funds. <br>(2) All securities acquired under the authority of KRS 78.510 to 78.852 shall be <br>registered in the name Kentucky Retirement Systems or nominee name as provided <br>by KRS 286.3-225 and every change in registration, by reason of sale or assignment <br>of such securities, shall be accomplished pursuant to written policies adopted by the <br>board. <br>(3) The board, in keeping with its responsibility as the trustee and wherever feasible, <br>shall give priority to the investment of funds in obligations calculated to improve <br>the industrial development and enhance the economic welfare of the <br>Commonwealth. <br>(4) The investment committee established pursuant to KRS 61.650 shall serve as the <br>investment committee of the funds established by KRS 78.510 to 78.852. <br>(5) Based upon market value at the time of purchase, the board shall limit the amount <br>of assets managed by any one (1) active or passive investment manager to fifteen <br>percent (15%) of the assets in the pension and insurance funds. <br>Effective: July 15, 2010 <br>History: Amended 2010 Ky. Acts ch. 127, sec. 4, effective July 15, 2010; and ch. 173, <br>sec. 10, effective July 15, 2010. -- Amended 2004 Ky. Acts ch. 36, sec. 35, effective <br>July 13, 2004. -- Amended 2003 Ky. Acts ch. 169, sec. 14, effective March 31, 2003. <br>-- Amended 1988 Ky. Acts ch. 349, sec. 40, effective July 15, 1988. -- Amended <br>1976 Ky. Acts ch. 321, sec. 40. -- Amended 1974 Ky. Acts ch. 128, sec. 35, effective <br>March 26, 1974. -- Amended 1972 Ky. Acts ch. 116, sec. 72. -- Amended 1966 Ky. <br>Acts ch. 34, sec. 13. -- Amended 1960 Ky. Acts ch. 165, Pt. III, sec. 3. -- Created <br>1958 Ky. Acts ch. 167, sec. 29. <br>Legislative Research Commission Note (7/15/2010). This section was amended by <br>2010 Ky. Acts chs. 127 and 173, which do not appear to be in conflict and have been <br>codified together. <br>Legislative Research Commission Note (7/12/2006). 2006 Ky. Acts ch. 247 instructs <br>the Reviser of Statutes to adjust KRS references throughout the statutes to conform <br>with the 2006 renumbering of the Financial Services Code, KRS Chapter 286. Such <br>an adjustment has been made in this statute. <br><br>