SUMMARY:

            This bill would amend Article 7 of Chapter 20 of Title 47 of the O.C.G.A. to expand the definition of “large retirement system,” to allow certain public retirement systems to invest assets in certain alternative assessments, private placements and other private investments with a limit on amounts invested, to shield such investment from public scrutiny and to provide for a code of ethics.

REQUIREMENTS;

• The definition revision would include any system with an accumulated unfunded actuarial accrued liability not greater than 50% of total assets
• Alternative investments would include:
• • Private investment pools such as
  • • Leveraged buyout funds;
    • Mezzanine funds;
    • Workout funds;
    • Debt funds;
    • Venture capital funds
    • Merchant banking funds; and
    • Funds of funds and secondary funds
  • Private placements and other private investments, such as
  • • Leveraged buyouts;
    • Venture capital investment
    • Equity investments including preferred and common stock of numerous varieties.
• The bill would establish limits on the alternative investments to a certain percent of the total investments of the fund.