§ 6.1-195.91. Establishment of common trust funds and collective investment funds; court accountings
A. Any association authorized by the Commission to offer fiduciary services may establish and maintain one or more common trust funds for the collective investment of funds held in a fiduciary capacity by it. Such association may include in such common trust fund or funds established and maintained by it, funds held in a fiduciary capacity by any affiliate of the association.
B. An association may invest funds held by it in any fiduciary capacity in one or more common trust funds, provided (i) such investment is not prohibited by the governing instrument or court order creating such fiduciary relationship; (ii) in the case of co-fiduciaries, the written consent of the co-fiduciary is obtained by the association; and (iii) the association has no interest in the assets of the common trust fund other than as a fiduciary.
C. Unless ordered by a court of competent jurisdiction, an association operating a common trust fund or funds shall not be required to render a court accounting with regard to such fund or funds, but, by application to a court of competent jurisdiction, such association may secure approval of such an accounting on such conditions as the court may establish. However, nothing contained herein shall affect the duties of the fiduciaries of the trust accounts participating in the common trust fund to render accounts of their several trusts.
D. As used in this section, "common trust funds" shall mean common trust funds which are described under § 584 of the Internal Revenue Code of 1954, as well as any other type of collective investment fund which is exempt from federal income taxation under any other provision of the Internal Revenue Code or regulations issued pursuant thereto.
(1984, c. 303.)
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