Investment Managers

Bright Start and Bright Directions are “qualified tuition programs” under Section 529 of the Internal Revenue Code. This means your investments can grow tax-free when you use withdrawals to pay for qualified education expenses, such as tuition, fees, books, and room and board.

Both plans offer three types of investment portfolios so you can choose an approach that fits your goals and risk tolerance: Age-Based, Target, and Individual Fund portfolios. These portfolios invest across a mix of asset types, including cash and cash equivalents, fixed income, equities (stocks), and real assets.

Investment Consultants

• Wilshire Associates
• Marquette Associates

Eligibility:  Prospective investment managers must be managed by one of the following entities:

• Registered Investment Advisor
• Registered Investment Company

The Office of the Illinois Treasurer will only consider, with the exception of sub-advisory firms owned by minorities, women, veterans, or persons with a disability, registered investment companies that offer pooled investment vehicles that comply with the Investment Act of 1940 for externally managed programs, including the following pooled investment vehicles:

• Mutual Funds
• Exchange-Traded Funds

Illinois Growth and Innovation Fund

The Illinois Growth and Innovation Fund (ILGIF) is an evergreen impact investment fund that invests in ways that attract, assist, and retain quality technology-enabled businesses in Illinois.  In August 2018, Treasurer Michael Frerichs announced an increase in the amount of investment capital available through ILGIF, bringing the total to approximately $1.5 billion over 10 years from the State’s existing investment portfolio. Furthermore, ILGIF was structured as an evergreen fund designed to allocate capital on a recurring basis, in perpetuity, to be invested with Illinois venture capital, growth equity, and private venture debt investment firms with a goal of investing in tech-enabled businesses seeking to locate, expand, or remain in Illinois.

Investment Advisor:  50 South Capital Advisors

Eligibility:  ILGIF eligibility requirements are detailed at www.ILGIF.com (scroll down to “Requirements”).

FIRST Fund

The FIRST Fund is a first-of-its-kind impact investment fund dedicated to strengthening Illinois’ infrastructure and real estate. Legally known as the Infrastructure Development Act, the legislation was proposed by Illinois State Treasurer Michael W. Frerichs to address the need for investment in the State of Illinois. The authority allows for the Illinois State Treasurer to allocate up to 5% of the State Portfolio to invest in, create, and maintain infrastructure and real estate assets within the State through Illinois Infrastructure Development firms.  Furthermore, FIRST Fund is structured as an evergreen fund designed to allocate capital on a recurring basis, in perpetuity, to be invested in Illinois Infrastructure Development firms, with the goal of investing in Illinois Development Projects.

Investment Advisor: The Rock Creek Group

Eligibility: Eligible managers must have a significant presence in Illinois and have a proven track record of investing in Illinois infrastructure development projects.

Achieving a Better Life Experience (ABLE) Savings Program

The Illinois ABLE program is a tax-advantaged investment program that allows persons with blindness or disabilities to save for disability-related expenses without risking their federal means-tested benefits.

Illinois ABLE offers a range of investment options to match constituents’ goals and risk tolerance. From aggressive options seeking higher returns to conservative investments prioritizing capital preservation over growth, Illinois ABLE offers choices for every investor. Each portfolio is underpinned primarily by passively managed index funds across traditional public market asset classes, including cash and cash equivalents, fixed income, equities, and real estate.

Investment Consultant:  Marquette Associates

Eligibility:  Prospective investment managers must be managed by one of the following entities:

• Registered Investment Advisor
• Registered Investment Company

The Office of the Illinois Treasurer will only consider, with the exception of sub-advisory firms owned by minorities, women, veterans, or persons with a disability, registered investment companies that offer pooled investment vehicles that comply with the Investment Act of 1940 for externally managed programs, including the following pooled investment vehicles:

• Mutual Funds
• Exchange-Traded Funds

Secure Choice Retirement Savings Program

The Office of the Illinois Treasurer administers the Illinois Secure Choice Savings Program (Secure Choice) on behalf of the Secure Choice Board.  Secure Choice is run by a seven-person Board, with Treasurer Frerichs serving as Chair.

Secure Choice is a retirement savings program for Illinois workers who do not have access to a workplace retirement plan.  Secure Choice offers Illinois businesses with at least 5 employees, that have been in business for 2 or more years, and that do not currently provide a qualified savings plan, the option to either offer a private-market savings vehicle or automatically enroll their employees in Secure Choice.

Illinois Secure Choice offers a range of investment options, from aggressive strategies seeking higher returns to conservative strategies that aim to preserve principal. When individuals invest in Secure Choice, they gain access to high-quality individual funds or target-date funds, whose value varies with market conditions. This includes cash and cash equivalents, fixed income, public equities, and real estate.

Investment Consultant:  Marquette Associates

Eligibility:  Prospective investment managers must be managed by one of the following entities:

          • Registered Investment Advisor

          • Registered Investment Company

The Office of the Illinois Treasurer will only consider, with the exception of sub-advisory firms owned by minorities, women, veterans, or persons with a disability, registered investment companies that offer pooled investment vehicles that comply with the Investment Act of 1940 for externally managed programs, including the following pooled investment vehicles:

          • Mutual Funds

          • Exchange-Traded Funds

State Investments

The Office of the Illinois Treasurer is charged with providing treasury, cash management, and investment support to Illinois government agencies, boards, and commissions in a manner that provides the most advantageous solution to their individual needs.  The Office of the Illinois Treasurer manages State Investments, with assets of approximately $12- $15 billion, providing the necessary liquidity to meet the State’s daily obligations while investing the remaining funds in authorized short- and long-term investment opportunities.

The Office of the Illinois Treasurer utilized external managers to invest in a limited number of asset classes (e.g., municipal bonds, corporate bonds).  

Investment Consultant:  Marquette Associates

Eligibility:  External managers seeking to support the State Investment portfolio must partake in a Request for Proposal (RFP) process when opportunities become available.  RFP’s are posted on the Treasurer’s Procurement webpage. To receive automatic email notifications when new RFPs are issued, sign up for the procurement notification system. 

Investment Policy Statements

The Office of the Illinois Treasurer maintains investment policy statements for each investment program under the Treasurer’s purview.  These policies provide detailed information on each program’s investment objectives, investment parameters, administrative responsibilities, contractual needs, and reporting requirements.   

MWVD and Illinois-Based Investment Managers

The Office of the Illinois Treasurer is focused on providing business opportunities to investment managers based in Illinois and firms owned by minorities, women, veterans, and persons with disabilities (MWVD).  Please visit the relevant pages for more info:  MWVD Firms and Illinois Firms. 

Contact Us

If you manage an investment vehicle and are seeking consideration or have general questions about doing business with the Office of the Illinois Treasurer, please email Investments@IllinoisTreasurer.gov.