Florida State Board of Administration, Tallahassee, can raise its maximum international equity allocation for the $116.1 billion Florida Retirement System to 35% under a bill signed into law June 1 by Gov. Charlie Crist, according to Dennis D. MacKee, the board’s communications director.
The system’s international equity allocation had been limited by statute to 25%. Its current international equity allocation is 19.9%.
The bill passed the Florida Senate on April 26 and the Florida House on April 30, both by unanimous votes.
The board, which oversees $137.4 billion, earlier this year sought legislative support to raise the statutory ceiling. The move would enable the board to implement potential recommendations to increase the allocation from an asset/liability study, which is scheduled to be presented to the FSBA’s Investment Advisory Council on June 8. Ennis Knupp is conducting the study.
The bill signed by Mr. Crist also expands the FSBA’s Investment Advisory Council to nine members from six. FSBA trustees will decide how the new members will be appointed, Mr. MacKee said. Each of the three board trustees — Mr. Crist; Bill McCollum, state attorney general; and Alex Sink, state CFO — had appointed two IAC members.
Mr. Crist’s media representatives were unavailable, traveling with him Friday to the Gulf Coast where he will inspect damage from the BP oil disaster with President Barack Obama.