State Treasurer John M. Schroder has answered the call to assist Israel by directing an additional $5 million investment in bonds of the Development Corporation for Israel (DCI), an American corporation that makes infrastructure provisions for the war-torn nation.
“When called upon to support our friends, I am confident in executing my charge as Treasurer and investing more funds in DCI bonds,” Schroder stated.
Louisiana Revised Statute 17:3803 authorizing the investment in DCI bonds, which was signed into law in 2004, permits the state treasurer to invest up to 5 percent of the portfolios of the Louisiana Education Quality Trust Fund and the Millennium Trust Fund in bonds from other countries. With this additional investment, the state will have $30 million invested in DCI bonds.
DCI bonds are denominated in U.S. dollars and they are registered with the Securities and Exchange Commission. The Development Corporation for Israel is headquartered in New York and is a registered broker- dealer and member of the Financial Industry Regulatory Authority (FINRA). Over 90 U.S. state and municipal pension and treasury funds across the nation are invested in DCI bonds. Other investors include corporations, insurance companies, associations, unions, banks, financial institutions, universities, foundations, and synagogues.
Additionally, Schroder cautioned Louisiana business owners who may consider boycotting Israel amid its ongoing fight with Hamas militants. Louisiana statute contains non-discrimination provisions and regulations governing purchases that state executive branch agencies may not execute a procurement contract with a vendor if that vendor is engaging in a boycott of Israel.
“Louisiana stands firmly with Israel, a country with which we enjoy mutually-beneficial trade relations and consider a faithful friend,” said Schroder. “Especially now as they are forced to fight against terrorists, they deserve our support.”
State law reads that subcontractors and suppliers seeking contracts with state agencies cannot “refuse to transact or terminate business activities, or take other actions intended to limit commercial relations, with a person or entity that is engaging in commercial transactions in Israel or Israeli-controlled territories, with the specific intent to accomplish a boycott or divestment of Israel.”
Over the weekend, fighting between Hamas and Israel Defense Forces (IDF) began with the militant group launching attacks and the IDF striking Gaza Strip, with victims including Americans and Americans taken as hostage.
For more information, contact pressoffice@ treasury.la.gov or
call (225) 342-0010.
