§412:8-402  Common trust fund investments.  (a) As used in this chapter the term "common trust funds" shall have thesame meaning as under section 584 of the Internal Revenue Code of 1986, as thesame may be hereafter amended, and shall also include any other type ofcollective investment fund which is exempt from federal income taxation underany other provision or regulation of the Code, or rule issued by the InternalRevenue Service or Department of Treasury.

(b)  A trust company may establish one or morecommon trust funds for the collective investment and reinvestment of moneyscontributed thereto by it as fiduciary, and by it and others as co-fiduciaries;and the trust company and its co-fiduciaries may invest funds held as trustee,guardian, or in any other fiduciary capacity in which it or they shall beauthorized to invest funds, in any common trust fund, if the investment is notexpressly forbidden by the instrument, decree, or order creating the fiduciaryrelationship.  Common trust funds may be invested and reinvested in thoseinvestments in which trust companies are authorized to invest trust funds.

(c)  The statutes, rules, regulations,interpretations or court decisions governing common trust funds of nationalbanking associations, as they may be amended from time to time, shall alsogovern common trust funds of a trust company. [L 1993, c 350, pt of §1]