PART IV. 
INVESTMENT OF FIDUCIARY ASSETS



 



Cross References



 



  Uniform Fiduciaries Act, see chapter 556.



 



§412:8-400  General requirements. 
Within the limits of the standard of a prudent investor, a trust company as
fiduciary, custodian, agent, personal representative, or otherwise may acquire
and retain every kind of property, real, personal, or mixed and every kind of
investment, including without limitation bonds, debentures, and other corporate
obligations, and corporate stocks, preferred or common, and securities of any
open-end or closed-end management type investment company or unit investment
trust registered under the federal Investment Company Act of 1940, as from time
to time amended, and may retain property properly acquired without limitation as
to time and without regard to its suitability for original purchase. 
Notwithstanding any other law, and unless expressly prohibited by the governing
instrument, a trust company may invest fiduciary funds and other funds over
which it has investment discretion in the securities of an investment company
or trust to which the trust company, or an affiliate of the trust company, is
providing services as investment advisor, sponsor, distributor, custodian,
transfer agent, registrar, or otherwise, and is receiving reasonable
remuneration for the services.  Nothing herein shall authorize a departure from
or variation of, the express terms or limitations set forth in the instrument
creating the fiduciary relationship, but the terms "legal investment"
or "authorized investment", or words of similar import, means any
investment conforming to the foregoing standard. [L 1993, c 350, pt of §1]