§431:6-322  Common trust funds; mutualfunds; and exchange traded funds.  (a)  For purposes of this section:

"Common trust funds" means a fundmaintained by a bank exclusively for the collective investment and reinvestmentof moneys contributed by the bank in its capacity as a trustee, executor,administrator, guardian, or custodian of accounts as defined in Section 584 ofthe Internal Revenue Code of 1986, as amended.

"Exchange traded fund" means asecurity that tracks an index, commodity, or basket of assets similar to anindex fund, is registered with the federal Securities and Exchange Commissionunder the Investment Company Act of 1940, as amended, and is traded on a publicexchange.

"Mutual funds" means an investmentcompany that is registered with the federal Securities and Exchange Commissionunder the Investment Company Act of 1940 (15 United States Code Section 80a-1,et seq.), as amended.

(b)  To meet the requirements under section431:6-201, an insurer may invest in common trust funds, mutual funds, andexchange traded funds; provided that an insurer's amount of investment madepursuant to this section and in common stocks made pursuant to section431:6-317(a) shall not exceed the greater of twenty-five per cent of itsadmitted assets or one hundred per cent of its surplus as regards topolicyholders as defined in section 431:6-101.  This limitation shall not applyto investments approved on the "Mutual Funds List" from the Purposesand Procedures Manual of the SVO, or its successor publication.

(c)  An insurer may invest any of its funds incommon trust funds, mutual funds, and exchange traded funds after satisfyingthe requirements of section 431:6-201. [L 1987, c 349, §4; am L 2008, c 142, §9;am L 2009, c 11, §5 and c 77, §5]