ARSD 20:07:03:12.01. Investment in mutual funds

A bank may purchase or hold shares of registered mutual funds that invest in authorized general investments as provided in subdivision 20:07:03:12(1). Those funds that engage in financial futures, options, or repurchase agreements may be purchased if they meet the following criteria: (1) The fund is subject to investment guidelines that limit its investment in hedging and yield enhancement activities to 25 percent of the fund; and (2) No more than 5 percent of the fund is invested in any single issue. A bank may invest up to 100 percent of the bank's capital stock and surplus in mutual funds.