§ 24-2-611. Standard of care — Portfolio strategy — Risk and return objectives
(a) Trustees shall invest and manage trust assets as a prudent investor would, by considering the purposes, terms, distribution requirements, and other circumstances of the trust. In satisfying this standard, the trustees shall exercise reasonable care, skill, and caution. (b) The trustees’ investment and management decisions respecting individual assets must be evaluated not in isolation […]
§ 24-2-612. Diversification
Trustees shall diversify the investments of the trust unless the trustees reasonably determine that, because of special circumstances, the purposes of the trust are better served without diversifying.
§ 24-2-613. Duties at inception of trusteeship
(a) Within a reasonable time after accepting a trusteeship or receiving trust assets, trustees shall review the trust assets and make and implement decisions concerning the retention and disposition of assets in order to bring the trust portfolio into compliance with the purposes, terms, distribution requirements, and other circumstances of the trust and with the […]
§ 24-2-614. Loyalty
Trustees shall invest and manage the trust assets solely in the interest of the members and benefit recipients of the trust.
§ 24-2-615. Impartiality
If a trust has two (2) or more beneficiaries, the trustees shall act impartially in investing and managing the trust assets, taking into account any differing interests of the beneficiaries.
§ 24-2-616. Investment costs — Limitations on investment authority
(a) In investing and managing trust assets, trustees may only incur costs that are appropriate and reasonable in relation to the assets, the purposes of the trust, and the skills of the trustee. (b) Trustees may delegate investment functions to an agent that a prudent trustee of comparable skills could properly delegate as provided in […]
§ 24-2-617. Reviewing compliance
Compliance with the prudent investor rule is determined in light of the facts and circumstances existing at the time of the trustees’ decisions or actions and is not determined by hindsight.
§ 24-2-618. Delegation of investment and management functions
(a) Trustees may delegate investment and management functions that a prudent trustee of comparable skills could properly delegate under the circumstances. The trustees shall exercise reasonable care, skill, and caution in: (1) Selecting an agent; (2) Establishing the scope and terms of the delegation, consistent with the purposes and terms of the trust; and (3) […]
§ 24-2-619. Language invoking standard of subchapter
The following terms or comparable language in the provisions of a trust, unless otherwise limited or modified, authorizes any investment or strategy permitted under this subchapter: (1) “Investments permissible by law for investment of trust funds”; (2) “Legal investments”; (3) “Authorized investments”; (4) “Using the judgment and care under the circumstances then prevailing that persons […]
§ 24-2-605. Investment authority and limitations — Fidelity bonds
(a) The boards of trustees of the respective retirement systems shall provide for a blanket fidelity bond of one million dollars ($1,000,000) covering the employees of the systems or such others as may be responsible for administering the funds. (b) The boards may pay the premiums for the bond from funds of the systems.