Restrictions

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Iowa law prohibits IPERS from investing in certain companies doing business in Iran or Sudan and companies that boycott Israel. 

To comply with Iowa law, IPERS takes the following steps.

  • Scrutinize the business activities of companies that do business with Iran or Sudan and companies that boycott Israel. 
  • Use the research services of ISS-Ethix for assistance in developing the list of scrutinized companies. This list is based on the criteria specified in Iowa law. 
  • Contact the scrutinized companies for an explanation of their business operations with the country or boycott in question. Each company has 90 days to respond. Companies that do not meet the requirements of the law, or do not respond to IPERS' request for information within the 90-day period, are placed on IPERS' prohibited investment list. IPERS updates this list quarterly as new information is received.

Once a company is placed on the prohibited investment list, IPERS cannot make any new investments in the company. IPERS is also required to divest of any securities (direct holdings) issued by prohibited companies within 18 months. If IPERS owns an interest in a commingled fund that holds securities (an indirect holding) of a company on the prohibited companies list, the IPERS Investment Board will decide whether divestment is warranted.
 

Iran Investment Restrictions

Iowa Code chapter 12H prohibits IPERS from investing in certain companies doing business in Iran. This law became effective on July 1, 2011. IPERS updates this list quarterly. Companies are added or removed as IPERS receives new information. The links below detail the prohibited companies and the holdings in prohibited companies.

Sudan Investment Restrictions

Iowa Code chapter 12F prohibits IPERS from investing in certain companies doing business in Sudan. This law became effective July 1, 2007. The links below detail the prohibited companies and the holdings in prohibited companies.

Companies that Boycott Israel Restrictions

Iowa Code chapter 12J prohibits IPERS from investing in certain companies that boycott Israel. This law became effective on July 1, 2016 but did not pertain to public funds such as IPERS until March 1, 2017. The links below detail the prohibited companies and the holdings in prohibited companies.