(1) A trust company shall invest or distribute money the trust company receives or holds as an agent or a fiduciary, whether for investment or distribution, as soon as practicable as authorized under the instrument creating the account. (2) A trust company may not hold the money described in Subsection (1) without investing the money for any longer than is reasonably necessary. (3) If the instrument creating an agency or fiduciary account authorizes the trust company, the trust company's officers, or the trust company's directors to exercise discretion over investments, the trust company, the trust company's officers, or the trust company's directors may invest money the trust company holds in the trust account under that instrument only in a class of securities that the directors of the trust company, or a committee of directors that the directors appoint, approve. (4) If a trust company acts in an agency or a fiduciary capacity under appointment by a court with jurisdiction, the trust company shall make and account for the investments according to Title 75B, Trusts, unless the underlying instrument provides otherwise. (5) (a) A trust company that is also a depository institution may deposit into the trust company's commercial department or savings department money that the trust company holds or receives as an agent or a fiduciary whether for investment or distribution, to the credit of the trust company's trust department. (b) When the money that a trust company deposits, in accordance with Subsection (5)(a), into a fiduciary or managing agency account exceeds the amount of federal deposit insurance applicable to that fiduciary or managing agency account, the trust company shall deliver to the trust department or put under the trust department's control collateral security as described in 12 C.F.R. Sec. 9.10. (c) If the instrument that creates a fiduciary or managing agency account described in Subsection (5)(b) expressly provides that a trust company may deposit money into the commercial or savings department of the trust company: (i) the trust company may deposit the money without setting aside collateral securities as required under this section; and (ii) in the event of insolvency, a deposit of the trust company shall be treated as other general deposits are treated. (d) A trust company that deposits trust funds into the trust company's commercial or savings department is liable for interest on the deposits only at the rates, if any, the trust company pays on deposits of like kind not made to the credit of the trust company's trust department. (6) (a) A trust company may deposit in an affiliated depository institution money that a trust company receives or holds as agent or fiduciary, whether for investment or distribution. (b) If money that a trust company deposits, in accordance with Subsection (6)(a), into a fiduciary or managing agency account exceeds the amount of federal deposit insurance applicable to that account, the depository institution shall deliver to the trust company or put under the trust company's control collateral security as described in 12 C.F.R. Sec. 9.10. (c) If the instrument that creates the fiduciary or managing agency account described in Subsection (6)(b) expressly permits the trust company to deposit money into the affiliated depository institution: (i) the trust company may deposit money without setting aside collateral securities in accordance with this section; and (ii) in the event of insolvency of the depository institution, deposits the trust company makes shall be treated as other general deposits are treated. (d) A trust company that deposits trust money into an affiliated depository institution is liable for interest on the deposits only at the rates, if any, the depository institution pays on deposits of like kind. (7) In carrying out all aspects of the trust company's trust business, a trust company has all the powers, privileges, and duties as set forth in Sections 75B-2-813 and 75B-2-814 with respect to trustees, whether the trust company acts as a trustee as defined in Section 75B-1-101. (8) Nothing in this section may alter, amend, or limit the powers of a trust company acting in a fiduciary capacity as specified in the particular instrument or order creating the fiduciary relationship. Renumbered and Amended by Chapter 112, 2026 General Session
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