{"data":{"id":"us-ky/krs-386.540","jurisdiction":"us-ky","citation":"KRS 386.540","heading":"Regulation of investments.","body":"Trust institutions and foreign trust institutions, as defined by KRS 386.510, acting in a\nfiduciary capacity and for fiduciary purposes, may, if exercising due care as a prudent\ninvestor, and with the consent of any co -fiduciary, invest and reinvest funds held in such\nfiduciary capacity in the shares of stock of one (1) or more fiduciary investment\ncompanies, except where the will, trust indenture or other instrument under which such\ntrust institution or foreign trust institution acts, prohibits such invest ment, provided the\nfiduciary investment company shall by its articles of incorporation issued and granted in\nconformity with the Kentucky Business Corporation Act have and possess the corporate\npowers required by KRS 386.510 to 386.590 and be subject to th e limitations set forth by\nKRS 386.510 to 386.590; provided, further, that no such trust institution or foreign trust\ninstitution shall invest in the stock of a fiduciary investment company on behalf of any\nestate, trust or fund administered by such trust institution or foreign trust institution a sum\nor amount which would result in such estate, trust or fund having a total investment in\nsuch stock in excess of the maximum amount or percentage that might be invested by\nsuch estate, trust or fund, under the regulations of the federal or state agency charged with\nsupervising such trust institution or foreign trust institution, in any common trust fund\nhaving total assets equal to the total assets of the fiduciary investment company as\nincreased by the proposed investment. No trust institution or foreign trust institution shall\ninvest in the stock of a fiduciary investment company if, immediately after such\ninvestment and as a consequence thereof, it would own more than 25 percent of the\nvoting securities of such fiduciary investment company which would then be outstanding.","path":["KRS Chapter 386"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=35948","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:59:16Z","sha256":"3fae0154cba52efa1e23f45fb775195612c9da4f8239375e068b8ad5b7cafc2a","source_id":"us-ky","stale":false,"prev":"us-ky/krs-386.530","next":"us-ky/krs-386.550"},"notice":"GroundRules: Original legal text. Not legal advice."}