Investment Expense Reporting

The PRB adopted Texas Administrative Code, Chapter 609 (Public Retirement System Investment Expense Reporting). The rules expand on Texas Government Code §802.103, which requires most retirement systems’ annual financial reports (AFRs) to include a listing, by asset class, of all direct and indirect investment fees and commissions paid by the retirement system during its previous fiscal year for the sale, purchase, or management of system assets.

The information is first required to be included in the 2020 fiscal year AFRs for systems with fiscal years ending in September. Please see the reporting schedule below for the first reporting period.


Initial Reporting Schedule:

Fiscal YearFiscal Year End DateAFR Due to the PRB
2020September 30, 2020April 29, 2021
2020October 31, 2020May 30, 2021
2020December 31, 2020July 30, 2021
2021February 28, 2021September 27, 2021
2021June 30, 2021January 27, 2022
2021July 31, 2021February 27, 2022
2021August 31, 2021March 30, 2022

All subsequent AFRs are required to include investment expense disclosures. 


Optional Template for Reporting Investment Expenses in Annual Financial Reports:


The PRB has developed a template to assist plans with reporting investment expenses in their AFRs. The template is an optional tool developed to assist plans. Plans are not required to use this format to comply with the requirements of §802.103, nor are they asked to submit templates to the PRB.

Please note, §802.103 requires this detailed information about investment managers, fees, and commissions be included within the AFR. The PRB is unable to consider AFRs without the required investment expense disclosures compliant with reporting requirements.

Please contact us if you need any assistance.

Asset Class Categorization Guide

PRB staff created the 2020 Asset Class Categorization Guide (ACC Guide) to clarify the asset classes for the investment fees and commissions reporting requirements established by §802.103(a)(3) of the Texas Government Code and 40 TAC Chapter 609.

Click here to view the ACC Guide.