Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the State Finance Investments topic
No spam. Unsubscribe anytime.
Board of Investments Director Briefs Committee on Trust Funds, Transparency and Bitcoin Questions
Summary
Dan Villa, executive director of the Montana Board of Investments, told the House State Administration Committee that holdings for state trust funds, the short-term investment pool and separately managed accounts are publicly posted and explained why the board does not currently hold Bitcoin or precious metals in state portfolios.
Director Dan Villa appeared before the House State Administration Committee to give a primer on the Board of Investments’ management of trust funds, the short-term investment pool (STIP) and separately managed accounts.
Villa said the board has fiduciary duties — loyalty, care, confidentiality and prudence — and that most holdings and performance reports are posted online. ‘‘If you ever wanna see the trust fund investment pool's holdings ... you can see on a monthly basis who has what holdings in the trust fund investment pool,’’ Villa said, pointing committee members to the board’s website for portfolio and policy documents.
On specific questions about high-profile assets, Villa said the board does not hold Bitcoin or precious metals in core state portfolios because those assets typically do not produce the recurring distributable yield many state funds require. ‘‘There is no place in any of the existing portfolios for something like that,’’ he said. He explained that investments such as minerals or certain real assets may appreciate but do not provide cash distributions needed to meet statutory payout obligations for funds such as the coal trust.
Villa noted some funds are designated for in‑state economic development and housing programs, and he called attention to the coal trust’s economic development allocations. Committee members asked where to find loan‑program information and investment policy statements; Villa demonstrated that the board posts investment policy statements and quarterly reports by pool and that the board posts holdings semiannually (June 30 and Dec. 31) to limit market disadvantage.
When Representative Byrne asked whether the board holds commodities beyond land and buildings, Villa said the real-assets portfolio includes aggregates (gravel pits), oil and gas, restoration projects and a range of energy assets managed through real assets strategies. He offered his direct phone number for follow-up questions and urged committee members to consult the board’s online documents for specific holdings and policies.
No formal committee action resulted from the briefing; Villa worked through questions about House Bill 379 (DNRC trust lands referenced) and other bills in the committee’s packet.
