§12-6-9c. Authorization of additional investments.
Notwithstanding the restrictions which may otherwise be
provided by law with respect to the investment of funds, all
administrators, custodians or trustees of pension funds other than
the board, each political subdivision of this state and each county
board of education may invest funds in the securities of or any
other interest in any investment company or investment trust
registered under the Investment Company Act of 1940, 15 U.S.C.
§80a, the portfolio of which is limited: (i) To obligations issued
by or guaranteed as to the payment of both principal and interest
by the United States of America or its agencies or
instrumentalities; and (ii) to repurchase agreements fully
collateralized by obligations of the United States government or
its agencies or instrumentalities: Provided, That the investment
company or investment trust takes delivery of the collateral either
directly or through an authorized custodian: Provided, however,
That the investment company or investment trust is rated within one
of the top two rating categories of any nationally recognized
rating service such as Moody's or Standard & Poor's.