Texas Insurance Code - Section 424.112. Withdrawals And Distributions
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Texas Lawyer > Insurance Code > Texas Insurance Code - Section 424.112. Withdrawals And Distributions
§ 424.112. WITHDRAWALS AND DISTRIBUTIONS. (a) A pool
participant must be able to make withdrawals on demand without
penalty or other assessment on any business day, and settlement of
funds must occur within a reasonable and customary period that does
not exceed five business days after a withdrawal.
(b) The pooling agreement must provide that the pool manager
shall make a distribution to a pool participant, at the manager's
discretion:
(1) in cash in an amount equal to the fair market value
at the time of the distribution of the participant's pro rata share
of each of the pool's underlying assets;
(2) in kind in an amount equal to a pro rata share of
each underlying asset; or
(3) in a combination of cash and in-kind distributions
in an amount equal to a pro rata share of each underlying asset.
(c) A distribution under Subsection (b) must be computed
after subtracting all the investment pool's applicable fees and
expenses.
Added by Acts 2005, 79th Leg., ch. 727, § 1, eff. April 1, 2007.
Section: 424.105 424.106 424.107 424.108 424.109 424.110 424.111 424.112 424.113 424.114 424.115 424.151 424.152 424.153 424.154
Last modified: August 10, 2007
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