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C.52:18A-89.15
An Act requiring the Director of the Division of Investment to attempt to use qualified minority and women-owned financial institutions to provide brokerage and investment management services and supplementing P.L.1950, c.270 (C.52:18A-79 et seq.).
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. a. The Director of the Division of Investment in the Department of the Treasury shall, subject to and consistent with the director’s fiduciary duties and the standard for prudent investment set forth in section 11 of P.L.1950, c.270 (C.52:18A-89), attempt to use to the greatest extent feasible qualified minority and women-owned financial institutions to provide brokerage and investment management services.
b. As used in this section:
“Qualified minority and women-owned financial institution” means a financial institution qualified to engage in State investment transactions that has a valid certification as a “minority business” or a “women’s business” pursuant to P.L.1986, c.195 (C.52:27H-21.17 et seq.).
2. This act shall take effect immediately.
STATEMENT
This bill requires the Director of the Division of Investment in the Department of Treasury to attempt to use qualified minority and women-owned financial institutions to provide brokerage and investment management services. The director must continue to adhere to the standard for prudent investment set forth in N.J.S.52:18A-89.
Currently, the Division of Investment does not identify how many minority and women-owned financial institutions provide brokerage and investment management services to the State. However, the Dow Jones Private Equity Analyst (August 2012) report identified Vista Equity Partners as an established and successful minority-owned private equity firm the New Jersey Division of Investment invested with in 2012.
The bill focuses the attention of the Director of the Division of Investment on the brokerage and investment management services provided by minority and women-owned financial institutions in order to promote and support the development of minority and women-owned small businesses in this State.
Requires Director of Division of Investment to attempt to use qualified minority and women-owned financial institutions to provide brokerage and investment management services.