7-7-28.   Investments by associations.
     Associations may invest, without limit, in the following stocks, obligations and instruments, or in participations in them:
     (1) obligations of, or obligations which are fully guaranteed as to principal and interest by, the United States or this state or any of its political subdivisions;
     (2) stock or obligations of any federal home loan bank or banks;
     (3) stock or obligations of any international home loan bank or similar agency which may be incorporated by authority of an act of Congress;
     (4) stock or obligations of the Federal Deposit Insurance Corporation or successor federal deposit insurance agency;
     (5) stock, obligations, or other instruments of, or issued by, or fully guaranteed as to principal and interest by, the Federal National Mortgage Association, Student Loan Marketing Association, Government National Mortgage Association, Federal Home Loan Mortgage Corporation, or any other agency or instrumentality of the United States, and an association may issue and sell securities which are guaranteed under Subsection 306(g) of the National Housing Act;
     (6) mortgages, obligations, or other securities which are or ever have been sold by the Federal Home Loan Mortgage Corporation under Sections 305 or 306 of the Federal Home Loan Mortgage Corporation Act;
     (7) obligations of, or guaranteed as to principal and interest by, the Dominion of Canada or any of its provinces if the principal and interest of these obligations are payable in United States funds;
     (8) obligations issued or guaranteed by the International Bank for Reconstruction and Development, or by the Inter-American Development Bank;
     (9) stock issued by a corporation authorized to be created under Title IX of the Housing and Urban Development Act of 1968 and investments in any partnership, limited partnership, or joint venture formed pursuant to Section 907(a) or 907(c) of that act;
     (10) stock or obligations of any state housing corporation;
     (11) shares or certificates in any open-end management investment company registered with the Securities and Exchange Commission under the Investment Company Act of 1940, the portfolio of which is restricted by law or agreement to investments in which associations are permitted to invest directly without limitation;
     (12) demand, time, or savings deposits, certificates, shares, or accounts, or other obligations of any financial institution the deposits of which are insured by a federal agency or instrumentality;
     (13) bankers' acceptances and commercial paper which are eligible for purchase by federal reserve banks;
     (14) commercial paper and corporate debt securities rated in the top four ratings of a nationally recognized rating service;
     (15) financial futures and options;
     (16) share capital and capital reserve of the Inter-American Savings and Loan Bank, but the aggregate investment may not exceed, for any association, 2% of its assets;
     (17) stock, obligations, or other securities of any small business investment company formed pursuant to Section 301(d) of the Small Business Investment Act of 1958, for the purpose of aiding members of the Federal Home Loan Bank System, but the aggregate investment may

not exceed, for any association, 2% of its assets; and
     (18) other investments approved by the commissioner.

Amended by Chapter 200, 1994 General Session
Download Code Section Zipped WordPerfect 07_07_002800.ZIP 3,153 Bytes

Sections in this Chapter|Chapters in this Title|All Titles|Legislative Home Page

Last revised: Thursday, May 28, 2009