Texas Education Code
§ 54.905 — INVESTMENT OF FUNDS
ED § 54.905Title 3. HIGHER EDUCATION · Part A. HIGHER EDUCATION IN GENERAL · Ch. 54. TUITION AND FEES · Art. J. TEXAS ACHIEVING A BETTER LIFE EXPERIENCE (ABLE) PROGRAM
Statute text
View on source(a)All money paid by a participant in connection with a participation agreement shall be:
(1)deposited into an individual ABLE account held on behalf of that participant in the Texas ABLE savings plan account; and
(2)promptly invested by the board.
(b)The board at least annually shall establish and review the asset allocation and selection of the underlying investments of the ABLE program. The board may delegate this duty to a financial institution, including a financial institution retained by another state or a consortium of states.
(c)The board may delegate to duly appointed financial institutions, including a financial institution retained by another state or a consortium of states, authority to act on behalf of the board in the investment and reinvestment of all or part of the funds and may also delegate to those financial institutions the authority to act on behalf of the board in the holding, purchasing, selling, assigning, transferring, or disposing of any or all of the securities and investments in which the funds in the Texas ABLE savings plan account have been invested, as well as the proceeds from the investment of those funds.
(d)In delegating investment authority to financial institutions, the board may authorize the pooling of funds from the ABLE accounts with other funds administered by the board to maximize returns for participants. If funds from the ABLE accounts are pooled with other funds administered by the board, the board shall track, monitor, report, and record separately all investment activity related to the ABLE accounts, including any earnings and fees associated with each individual ABLE account.
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Legislative history
Acts 2017, 85th Leg., R.S., Ch. 296 (S.B. 377), Sec. 3, eff. May 29, 2017.