Office of the Legislative Auditor - Financial Audit Division

• We issued an unqualified opinion on the financial statements of the Supplemental Investment Fund and the Post Retirement Investment Fund as of and for the year ended June 30, 2007.
• We did not identify any significant deficiencies involving the Minnesota State Board of Investment’s (SBI) internal control over financial reporting or noncompliance with significant legal provisions that are required to be reported under Government Auditing Standards.

SBI manages the investment of retirement fund assets of the Minnesota State Retirement System, Teachers Retirement Association, and the Public Employees Retirement Association.  SBI also invests funds for other state agencies, including invested treasurer’s cash, which is the idle cash in state accounts.  At June 30, 2007, SBI administered approximately $64 billion in state assets.  SBI uses both internal staff and external money managers to fulfill its responsibilities.  The external firms invest and manage the assets of the retirement funds and the assigned risk plan.  SBI staff manage the other state investments.