Sudan Investment Restrictions

2007 Iowa Acts, Chapter 39, prohibits IPERS from investing in certain companies doing business in the Sudan. IPERS fully complies with this law, which became effective July 1, 2007.

IPERS uses the Sudan Divestment Task Force’s Highest Offender List to develop and periodically update a list of prohibited companies for its investments. IPERS contacts companies on the Highest Offender List and asks them to explain their business operations in the Sudan. The companies have 90 days to respond. (Note that some companies that appear on the Highest Offender List may not yet appear on IPERS’ list of prohibited companies if such companies are within the 90-day response period.)

If the companies do not respond or do not take corrective action, IPERS will not make any new investments in any of the companies. IPERS also will divest of any securities issued by companies on the list that IPERS holds directly (direct holdings) within 18 months. If IPERS owns an interest in a mutual fund that holds securities (an indirect holding) of a company on the prohibited list, the IPERS Investment Board will decide if divestment is warranted.

IPERS' maintains a holdings list that estimates holdings in prohibited companies.