(1) The board of trustees of any local government investment pool trust fund moneys authorized by this section shall invest in compliance with the requirements of this section and with that degree of judgment and care, under the circumstances then prevailing, which persons of prudence, discretion, and intelligence exercise in the management of their own affairs, not for speculation, but for investment, considering the probable safety of their capital and need for liquidity as well as the probable income to be derived.
The board shall exercise the functions over which such board has substantial discretion solely in the interest of the participating local governments and for the exclusive purpose of providing earnings and defraying expenses incurred in administering the trust fund. The board shall act in accordance with the provisions of this part 7 and with the care, skill, and due diligence in light of the circumstances then prevailing that a person in like capacity and familiar with such matters would use in the conduct of an enterprise of like character and with like aims.
It is unlawful for a member of the board to engage in any activities which mightresult in a conflict of interest with such member's functions as a fiduciary of the trust fund.
Source: L. 93: Entire part R&RE, p. 323, § 1, effective July 1.
Editor's note: This section is similar to former § 24-75-702 as it existed prior to 1993.
For a detailed comparison, see the comparative tables located in the back of the index.