Ohio Code § 742.11

§ 742.11.

(A) The members of the board of trustees of the Ohio police and fire pension fund shall

be the trustees of the funds created by section 742.59 of the Revised Code .  The board shall have full power to invest the funds.  The board and other fiduciaries shall discharge their duties with respect to the

funds solely in the interest of the participants and beneficiaries;  for the exclusive

purpose of providing benefits to participants and their beneficiaries and defraying

reasonable expenses of administering the Ohio police and fire pension fund;  with

care, skill, prudence, and diligence under the circumstances then prevailing that

a prudent person acting in a like capacity and familiar with these matters would use

in the conduct of an enterprise of a like character and with like aims;  and by diversifying

the investments of the disability and pension fund so as to minimize the risk of large

losses, unless under the circumstances it is clearly prudent not to do so. The board, in accordance with its fiduciary duties described under this section, shall

make investment decisions with the sole purpose of maximizing the return on its investments.  The board shall not make an investment decision with the primary purpose of influencing

any social or environmental policy or attempting to influence the governance of any

corporation. To facilitate investment of the funds, the board may establish a partnership, trust,

limited liability company, corporation, including a corporation exempt from taxation

under the Internal Revenue Code, 100 Stat. 2085, 26 U.S.C.A. 1 , as amended, or any other legal entity authorized to transact business in this state. (B) In exercising its fiduciary responsibility with respect to the investment of the

funds, it shall be the intent of the board to give consideration to investments that

enhance the general welfare of the state and its citizens where the investments offer

quality, return, and safety comparable to other investments currently available to

the board.  In fulfilling this intent, equal consideration shall be given to investments otherwise

qualifying under this section that involve minority owned and controlled firms and

firms owned and controlled by women, either alone or in joint venture with other firms. The board shall adopt, in regular meeting, policies, objectives, or criteria for the

operation of the investment program that include asset allocation targets and ranges,

risk factors, asset class benchmarks, time horizons, total return objectives, and

performance evaluation guidelines.  In adopting policies and criteria for the selection of agents with whom the board

may contract for the administration of the funds, the board shall comply with sections 742.114 and 742.116 of the Revised Code and shall also give equal consideration to minority owned and controlled firms, firms

owned and controlled by women, and joint ventures involving minority owned and controlled

firms and firms owned and controlled by women that otherwise meet the policies and

criteria established by the board.  Amendments and additions to the policies and criteria shall be adopted in regular

meeting.  The board shall publish its policies, objectives, and criteria under this provision

no less often than annually and shall make copies available to interested parties. The board shall not adopt a policy, or take any action to promote a policy, under

which the board makes investment decisions with the primary purpose of influencing

any social or environmental policy or attempting to influence the governance of any

corporation. When reporting on the performance of investments, the board shall comply with the

performance presentation standards established by the association for investment management

and research. (C) All bonds, notes, certificates, stocks, or other evidences of investments purchased

by the board shall be delivered to the treasurer of state, who is hereby designated

as custodian thereof, or to the treasurer of state's authorized agent, and the treasurer

of state or the agent shall collect the principal, interest, dividends, and distributions

that become due and payable and place them when so collected into the custodial funds.  Evidences of title of the investments may be deposited by the treasurer of state

for safekeeping with an authorized agent, selected by the treasurer of state, who

is a qualified trustee under section 135.18 of the Revised Code .  The treasurer of state shall pay for the investments purchased by the board on receipt

of written or electronic instructions from the board or the board's designated agent

authorizing the purchase and pending receipt of the evidence of title of the investment

by the treasurer of state or the treasurer of state's authorized agent.  The board may sell investments held by the board, and the treasurer of state or

the treasurer of state's authorized agent shall accept payment from the purchaser

and deliver evidence of title of the investment to the purchaser on receipt of written

or electronic instructions from the board or the board's designated agent authorizing

the sale, and pending receipt of the moneys for the investments.  The amount received shall be placed into the custodial funds.  The board and the treasurer of state may enter into agreements to establish procedures

for the purchase and sale of investments under this division and the custody of the

investments. (D) All of the board's business shall be transacted, all its funds shall be invested,

all warrants for money drawn and payments shall be made, and all of its cash, securities,

and other property shall be held, in the name of the board or its nominee, provided

that nominees are authorized by board resolution for the purpose of facilitating the

ownership and transfer of investments. (E) No purchase or sale of any investment shall be made under this section except as

authorized by the board of trustees of the Ohio police and fire pension fund. (F) Any statement of financial position distributed by the board shall include the fair

value, as of the statement date, of all investments held by the board under this section.