CHAPTER 5. OTHER INVESTMENTS BY FIDUCIARIES

IC 30-1-5
    Chapter 5. Other Investments by Fiduciaries

IC 30-1-5-1
Securities; insurance
    Sec. 1. Every executor, administrator, guardian, trustee, receiveror other fiduciary shall have the power, in such capacity, to invest inthe following:
        (1) Obligations issued pursuant to the provisions of the FederalHome Loan Bank Act (12 U.S.C. 1421 et seq.), as in effect onDecember 31, 1990, and in obligations issued by the FSLICResolution Fund.
        (2) Life, endowment, or annuity contracts of legal reserve lifeinsurance companies duly licensed by the insurancecommissioner for the state of Indiana to transact business withinthe state. The purchase of contracts authorized by thissubdivision shall be limited, however, to executors or thesuccessors to their powers when specifically authorized by will,to guardians on authorization of the court having probatejurisdiction over the guardianship, and to trustees. Suchcontracts may be issued on the life or lives of a protected personor persons, a beneficiary or beneficiaries of a trust fund, oraccording to the terms of a will, or upon the life or lives ofpersons in whom the protected person or beneficiary has aninsurable interest. Life or endowment or annuity contracts maybe purchased by trustees in the absence of an expressprohibition against such purchase contained in the instrumentcreating the trust. The trustee may expend trust income andprincipal to pay annual premiums for contracts authorized bythis subsection subject to limitations that are:
            (A) imposed by the court having probate jurisdiction overthe trust; or
            (B) expressly authorized in the trust instrument.
        In the absence of express provision in the trust instrument to thecontrary, the trustee, as trustee, shall possess all the incidents ofownership in contracts so issued and the trustee as trustee, orthe beneficiary or beneficiaries of the trust shall be thebeneficiary or beneficiaries of such contracts.
        (3) Obligations of the federal government, or any federalagency or instrumentality, whenever a governing instrument ororder directs, requires, authorizes, or permits investment in suchobligations, either directly or in the form of securities of, orother interests in, any open end management type investmentcompany or investment trust registered under the provisions ofthe Investment Company Act of 1940 (15 U.S.C. 80a et seq.),as in effect on December 31, 1990. However, the portfolio ofthe investment company or investment trust must be limited toobligations of the federal government or any federal agency orinstrumentality, and to repurchase agreements fullycollateralized by such obligations to which obligations the

investment company or investment trust takes delivery eitherdirectly or through an authorized custodian.
(Formerly: Acts 1941, c.149, s.1; Acts 1943, c.250, s.1; Acts 1969,c.160, s.1.) As amended by P.L.280-1987, SEC.3; P.L.33-1989,SEC.84; P.L.8-1991, SEC.33; P.L.252-2001, SEC.29.