§ 35-23-4. Investments.
(a) The office of the general treasurer may select an appropriate third-party administrator(s)
for the program and shall adopt such plan, trust, and/or custodial documents, with
such features and attributes as the office of the general treasurer determines necessary
or advisable in its discretion to effectuate the provisions of this chapter in accordance
with the following:
(1) The office of the general treasurer may select one or more firm(s) or company(ies)
to provide retirement program investments, program administration, and communication
services to employees who participate in the retirement savings program. The program
shall provide for appropriate long-term retirement-oriented investments and shall
include investment options as determined by the state investment commission. In determining
the firm(s) or the company(ies) to provide these services, the office of the general
treasurer shall consider the following:
(i) The financial stability of the company or firm;
(ii) The cost of the investments, program administration, and services to the members;
(iii) The experience of the company or firm in administering retirement savings plans;
(iv) The experience of the company or firm in providing education, counseling, and advice
to participants of retirement savings plans; and
(v) Any criminal convictions, securities or antitrust law violations, material civil or
regulatory fines or judgments against the company or firm which the company or firm
shall be required to disclose to the office of the general treasurer and the commission
as part of the selection process.
(2) The program shall provide education, counseling, and objective employee-specific plan
advice to participants.
(3) The program shall include a limited number of investment options that shall include
either:
(i) Investment portfolio options that are constructed to reflect different risk profiles
such as conservative, moderate, and aggressive; and/or
(ii) Options constructed to reflect different risk profiles that automatically reallocate
and rebalance contributions as an employee ages. There shall be investment options
that prioritize the securities of companies that demonstrate good governance; efficient
use of environmental resources; and thoughtful management of social impact. All investment
offerings shall be approved by the state investment commission.
(b) The Rhode Island secure choice retirement savings program is an instrumentality of
the state. Any security issued, managed, or invested by the state investment commission
within the Rhode Island secure choice retirement savings program on behalf of an individual
participating within the RISavers retirement savings program shall be state income
tax deferred for investment earnings to include interest, dividends, and capital gains
until such time as withdrawal pursuant to the terms of this chapter.
(c) The third-party administrator(s) shall adopt a written statement of investment policy
that includes a risk management and oversight program. The state investment commission
shall consider the statement of investment policy and any changes in the investment
policy at a public meeting.