(1) It is lawful for any guardian or conservator of minor or incompetent beneficiaries of the veterans administration to invest the funds of the estate or trust or to permit such funds to remain invested in any of the following: (a) Bonds or other interest-bearing or noninterest-bearing obligations of the United States of America; (b) Bonds or other interest-bearing or noninterest-bearing securities, the payment of the principal sum of which and the interest, if any, on which is guaranteed by the United States of America; (c) Bonds or other interest-bearing or noninterest-bearing securities which are direct general obligations of the state of Colorado or of any school district, local college district, or county therein or of any water or sanitation district or water and sanitation district created under the provisions of article 1 of title 32, C.R.S.; (d) Bonds or other interest-bearing or noninterest-bearing securities which are direct general obligations of any city and county or incorporated city or town in the state of Colorado which has existed continuously as a lawful corporation for a period of ten years; (e) Bonds or other interest-bearing or noninterest-bearing securities which are direct general obligations of any other state of the United States of America or any school district, local college district, county, city and county, parish, or incorporated city, town, or village within any other state of the United States of America; if the entire general obligation indebtedness of any such school district, local college district, county, city and county, parish, city, town, or village, including the proportionate share of the general obligation indebtedness of any other subdivisions of such state which have power to levy taxes on the same property, does not at the time of investment exceed fifteen percent of the valuation for assessment of the taxable property therein; if the issuer has existed for at least fifteen years and has not been in default with respect to the principal of any of its general obligation indebtedness at any time within the preceding ten years; if any such issuer, being an incorporated city, city and county, town, or village, has a population of not less than twenty-five hundred people, according to the last preceding federal census; and if the purchase or retention of investments under this paragraph (e) by such fiduciaries acting under the probate jurisdiction of a court is subject to prior approval of such court; (f) All or any part of issues or series of bonds or notes secured by first lien mortgages or deeds of trust upon real estate situate within the state of Colorado. Such loans shall not exceed fifty percent of the appraised value of the lands, improvements, and water rights, if any, pertaining thereto, but the amount of such loan may equal sixty percent of the appraised value of the land, improvements, and water rights, if any, pertaining thereto if the instruments evidencing such investments contain a requirement for reduction, during each year, of the principal of the loan in an amount equal to at least five percent of the original principal sum. Such loans, when made by such fiduciaries acting under the probate jurisdiction of a court, shall be made in such amounts and for such periods as may be in the best interests of the estate and shall be subject to approval by the court. (g) State highway fund revenue anticipation warrants of the state of Colorado; (h) Repealed. (i) Original and supplemental bonds of the Moffat tunnel improvement district; (j) Revenue obligations issued to provide, enlarge, or improve electric power or water facilities by any city located in the state of Colorado having a population of not less than twenty- five hundred people at the time of investment if: (I) The plan under which said obligations were issued provides for the retirement thereof out of the revenue within thirty years from the date of issuance; and (II) The net revenue from such facility during each of the five years preceding such investment, after provision for ordinary expenses (exclusive of any allowance for depreciation), of operation of the facility, is equal to at least one and one-half times the sum of interest and principal payments due in any year during the remaining life of the issue and like payments due on account of any other issue relating to the same facility; (k) Bonds of housing authorities issued pursuant to the provisions of article 4 of title 29, C.R.S.; (l) Improved real property within the state of Colorado if such property at time of purchase is under lease in its entirety, such lease then having an unexpired term of not less than ten years and under which the lessee is obliged to pay taxes, expenses of maintenance, and a rental therein fixed, and the appraised value of the land and improvements is in excess of ten times the net annual rent reserved in the lease; such real property shall be purchased by such fiduciaries acting under the probate jurisdiction of a county court only under order of court; (m) Time or savings deposits in any state bank or national bank in Colorado which is, at the time the deposit is made, a member of the federal deposit insurance corporation if: (I) The full amount of the deposit is insured by the federal deposit insurance corporation; (II) The bank or association agrees to pay interest on the deposit; and (III) To the extent that the deposit ceases to be insured by the federal deposit insurance corporation, the same is withdrawn or otherwise converted into cash as promptly as the terms of the deposit will permit. Such deposit may be evidenced by an entry in a passbook, or by a certificate of deposit, or in such other manner as is then customary in the community in which the deposit is made. (n) Notes or bonds secured by mortgage or deed of trust insured pursuant to Title II of the "National Housing Act" if the purchase is made by an approved mortgagee under said "National Housing Act"; except that: (I) Nothing in this section shall restrict the powers of investment conferred upon any executor, administrator, or trustee by the terms of a will or trust instrument; (II) Any such fiduciary may retain any real property owned by his or her testate or intestate at date of death or by his or her ward at date of appointment of a guardian or conservator and that any such fiduciary may retain for a reasonable time any real property acquired by him or her by foreclosure of or in satisfaction of a mortgage or trust deed, but if such fiduciary is subject to the probate jurisdiction of the county court, such holding shall not exceed two years unless permitted by order of that court; (III) Any such fiduciary may purchase or retain any class of property authorized by this section to be purchased or retained, as the case may be, in addition to the investments described in the will or trust instrument, unless the power to invest in such class of property is expressly or impliedly denied by such will or trust instrument; (IV) Nothing in this section shall be construed to limit the existing right of such fiduciaries to maintain such demand or time deposits in banks as are required in the ordinary conduct of their business; and (V) Nothing in this section shall relieve any such fiduciary from the duty of exercising reasonable care in the purchase or retention of investments; (o) Share, certificate, or savings accounts in any state or federally chartered savings and loan association in Colorado that are insured by the federal deposit insurance corporation or its successor if: (I) The full amount of the account is insured by the federal deposit insurance corporation or its successor; (II) The association agrees to pay such dividends on the account as permitted by its charter; and (III) To the extent that the account ceases to be insured by the federal deposit insurance corporation or its successor, the same is withdrawn or otherwise converted into cash as promptly as the terms of the account will permit. Such account may be evidenced by an entry in a passbook, or by a certificate of investment, or in such other manner as is acceptable to the federal deposit insurance corporation or its successor.
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