§ 24-75-707 — Investment adviser - duties - unlawful activities

Colorado § 24-75-707

• Jurisdiction: Colorado
• Title 24: Government
• Art.: State Funds

Text

(1) An
investment adviser, a broker-dealer, or a financial institution acting in an advisory
capacity for a local government investment pool trust fund which contracts with
the board of trustees of such trust fund shall be held to the standard of conduct set
forth in section 24-75-705 with respect to those functions over which such
investment adviser, broker-dealer, or financial institution has substantial discretion.

(2) It is unlawful for any investment adviser to a local government
investment pool trust fund or any investment adviser representative of such
investment adviser to:

(a) Act as a member of the board of trustees or custodian of that trust fund;
or

(b) Maintain the primary records of the trust fund anywhere but within this
state; except that, the securities commissioner may, by rule or order, and subject to
such terms and conditions as prescribed therein, permit the maintenance of such
records in another state if the securities commissioner finds that maintenance of
such records in this state is not necessary in the public interest and for the
protection of participating local governments.

(3) It is unlawful for any broker-dealer or financial institution acting in an
advisory capacity to a local government investment pool trust fund or any person
employed by or directly associated with a broker-dealer or financial institution
acting in an advisory capacity to such a trust fund to:

(a) Act as a member of the board of trustees of that trust fund; or

(b) Maintain the primary records of the trust fund anywhere but within this
state; except that, the securities commissioner may, by rule or order, and subject to
such terms and conditions as prescribed therein, permit the maintenance of such
records in another state if the securities commissioner finds that maintenance of
such records in this state is not necessary in the public interest and for the
protection of participating local governments.

Legislative History

Source: L. 93: Entire part R&RE, p. 324, � 1, effective July 1.