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chapter is not suitable. <br />(k) A written copy of the investment policy shall be <br />presented to any person offering to engage in an investment <br />transaction with an investing entity or to an investment management <br />firm under contract with an investing entity to invest or manage the <br />entity's investment portfolio. For purposes of this subsection, a <br />business organization includes investment pools and an investment <br />management firm under contract with an investing entity to invest <br />or manage the entity's investment portfolio. Nothing in this <br />subsection relieves the investing entity of the responsibility for <br />monitoring the investments made by the investing entity to <br />determine that they are in compliance with the investment policy. <br />The qualified representative of the business organization offering <br />to engage in an investment transaction with an investing entity <br />shall execute a written instrument in a form acceptable to the <br />investing entity and the business organization substantially to the <br />effect that the business organization has: <br />(1) received and reviewed the investment policy of the <br />entity; and <br />(2) acknowledged that the business organization has <br />implemented reasonable procedures and controls in an effort to <br />preclude investment transactions conducted between the entity and <br />the organization that are not authorized by the entity's investment <br />policy, except to the extent that this authorization is dependent <br />on an analysis of the makeup of the entity's entire portfolio or <br />requires an interpretation of subjective investment standards. <br />(1) The investment officer of an entity may not acquire or <br />otherwise obtain any authorized investment described in the <br />investment policy of the investing entity from a person who has not <br />delivered to the entity the instrument required by Subsection (k). <br />(m) An investing entity other than a state agency, in <br />conjunction with its annual financial audit, shall perform a <br />compliance audit of management controls on investments and <br />adherence to the entity's established investment policies. <br />(n) Except as provided by Subsection (o), at least once <br />every two years a state agency shall arrange for a compliance audit <br />of management controls on investments and adherence to the agency's <br />8 <br />W „-v 51 <br />