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



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



"Exchange traded fund" means a
security that tracks an index, commodity, or basket of assets similar to an
index fund, is registered with the federal Securities and Exchange Commission
under the Investment Company Act of 1940, as amended, and is traded on a public
exchange.



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



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



(c)  An insurer may invest any of its funds in
common trust funds, mutual funds, and exchange traded funds after satisfying
the 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]