§412:9-408  General requirement forinvestments.  (a)  A depository financial services loan company shall makeinvestments that are consistent with prudent banking practices and incompliance with all applicable federal and state law.

(b)  The board of directors of a depositoryfinancial services loan company and any other person charged with theresponsibility of investing the depository financial services loan company'sassets shall exercise such reasonable diligence, discretion, judgment, andintelligence as would be expected of a prudent investor.  Among other things,they shall not engage in speculative or unsound investments, and they shall atall times consider the probable safety as well as the probable income of thecapital being invested.

(c)  The board of directors shall establishwritten investment policies. [L 1993, c 350, pt of §1]