Section 30-3205 - Fiduciary; interests in private investment fund, investment company, or investment trust; investments authorized; bank or trust company; investments authorized(1) Notwithstanding the prohibition on investments in section 8-224.01, a fiduciary holding funds for investment may invest such funds in securities of, or other interests in, a private investment fund or any open-end or closed-end management-type investment company or investment trust registered or exempt from registration under the federal Investment Company Act of 1940, as amended, if a court order, will, agreement, or other instrument creating or defining the investment powers of the fiduciary directs, requires, authorizes, or permits the investment of such funds in any of the following: (a) Such investments as the fiduciary may, in his or her discretion, select;(b) Investments generally, other than those in which fiduciaries are by law authorized to invest trust funds; and(c) United States Government obligations if the portfolio of such investment company or investment trust is limited to United States Government obligations and to repurchase agreements fully collateralized by such obligations and if such investment company or investment trust takes delivery of the collateral, either directly or through an authorized custodian.(2)(a) Notwithstanding the prohibition on investments in section 8-224.01, a bank or trust company acting as a fiduciary, agent, or otherwise may, in the exercise of its investment discretion or at the direction of another person authorized to direct investment of funds held by the bank or trust company as a fiduciary, invest and reinvest interests in the securities of a private investment fund or an open-end or closed-end management-type investment company or investment trust registered or exempt from registration under the federal Investment Company Act of 1940, as amended, or may retain, sell, or exchange such interests so long as the portfolio of the investment company or investment trust as an entity consists substantially of investments not prohibited by the instrument governing the fiduciary relationship.(b) The fact that the bank or trust company or an affiliate of the bank or trust company provides services to the investment company, investment trust, or private investment fund, such as that of an investment advisor, custodian, transfer agent, registrar, sponsor, distributor, manager, or otherwise, and is receiving reasonable compensation for the services shall not preclude the bank or trust company from investing, reinvesting, retaining, or exchanging any interest held by the trust estate in the securities of a private investment fund or any open-end or closed-end management-type investment company or investment trust registered or exempt from registration under the federal Investment Company Act of 1940, as amended.Neb. Rev. Stat. §§ 30-3205
Laws 1987, LB 576, § 1; R.S.Supp.,1988, § 24-638; Laws 1993, LB 91, § 1; Laws 2000, LB 932, § 28; Laws 2003, LB 130, § 135; Laws 2020, LB 909, § 22.Amended by Laws 2020, LB 909,§ 22, eff. 11/14/2020.