(a) Subject to Subsection (b) and notwithstanding § 404.024, for the purpose of investing the assets of the economic stabilization fund, the comptroller may acquire, exchange, sell, supervise, manage, or retain any kind of investment that a prudent investor exercising reasonable care, skill, and caution would acquire, exchange, sell, supervise, manage, or retain in light of the purposes, terms, distribution requirements, and other circumstances then prevailing for the fund, taking into consideration the investment of all the assets of the fund rather than a single investment.
(b) At least 10 percent of the economic stabilization fund balance must be invested in a manner that ensures the liquidity of that amount.

(b-1) Notwithstanding any other law, directly or indirectly through a separately managed account or other investment vehicle, the comptroller shall invest not more than $800 million of the economic stabilization fund balance to finance the default balance as defined by § 39.602, Utilities Code, to be repaid by ERCOT market participants through default charges established by the Public Utility Commission of Texas. The interest rate charged in connection with the debt obligations must be calculated by adding the rate determined by the Municipal Market Data Municipal Electric Index, as published by Refinitiv TM3, based on the credit rating of the independent organization, as defined by § 39.602, Utilities Code, plus 2.5 percent. The term of the debt obligations may not exceed 30 years.
(b-2) A person may not bring a civil action against this state, the Texas Treasury Safekeeping Trust Company, or an employee, independent contractor, or official of this state, including the comptroller, for any claim, including breach of fiduciary duty or violation of any constitutional, statutory, or regulatory requirement, in connection with any action, inaction, decision, divestment, investment, report, or other determination made or taken in connection with Subsections (b-1), (b-4), and (b-5).
(b-3) A person who brings an action described by Subsection (b-2) is liable to the defendant for the defendant’s costs and attorney’s fees resulting from the action.
(b-4) The comptroller shall manage the investments required by Subsection (b-1) as a separate investment portfolio. The comptroller shall provide separate accounting and reporting for the investments in that portfolio. The comptroller shall credit to that portfolio all payments, distributions, interest, and other earnings on the investments in that portfolio.
(b-5) The comptroller has any power necessary to accomplish the purposes of managing and investing the assets of the portfolio described by Subsection (b-4). In managing the assets of that portfolio, through procedures and subject to restrictions the comptroller considers appropriate, the comptroller may acquire, sell, transfer, or otherwise assign the investments as appropriate, taking into consideration the purposes, terms, distribution requirements, and other circumstances of that portfolio then prevailing.
(c) The comptroller may pool assets of the economic stabilization fund with other state assets for purposes of investment under § 404.024(b).
(d) The comptroller shall adjust the investment of economic stabilization fund money periodically as necessary to ensure that:
(1) at all times at least 10 percent of the balance of the economic stabilization fund is invested in a manner that ensures the liquidity of that amount; and
(2) the balance of the economic stabilization fund is sufficient to meet the cash flow requirements of the fund.
(e) The comptroller shall include the fair market value of the investments of the economic stabilization fund in calculating the amount in the fund for purposes of § 49-g(g), Article III, Texas Constitution, and Section 316.093 of this code.