§ 67-19f-302 — State treasurer to follow "prudent investor" rule -- Standard of care.

(1) The state treasurer shall invest and manage the trust fund assets as a prudent investor would, by:

(1)(a) considering the purposes, terms, distribution requirements, and other circumstances of the trust fund; and
(1)(b) exercising reasonable care, skill, and caution in order to meet the standard of care of a prudent investor.
(2) In determining whether the state treasurer has met the standard of care of a prudent investor, the judge or finder of fact shall:

(2)(a) consider the state treasurer's actions in light of the facts and circumstances existing at the time of the investment decision or action, and not by hindsight; and
(2)(b) evaluate the state treasurer's investment and management decisions respecting individual assets:
(2)(b)(i) not in isolation, but in the context of the trust fund portfolio as a whole; and
(2)(b)(ii) as a part of an overall investment strategy that has risk and return objectives reasonably suited to the trust fund.

Legislative History

Enacted by Chapter 437, 2014 General Session