216

LAWS OF MARYLAND

Ch. 33

(1)   INVEST ITS OWN FUNDS IN A COMMON TRUST FUND
THAT IT ADMINISTERS; OR

(2)   HAVE ANY INTEREST, OTHER THAN ITS FIDUCIARY
INTEREST, IN THE ASSETS IN A COMMON TRUST FUND THAT IT
ADMINISTERS.

(B)   WITHDRAWAL OF INTEREST.

IF, BECAUSE OF A CREDITOR RELATIONSHIP OR OTHERWISE, A
TRUST COMPANY ACQUIRES AN INTEREST IN A PARTICIPATION IN A
COMMON TRUST FUND THAT IT ADMINISTERS, THE PARTICIPATION
SHALL BE WITHDRAWN ON THE NEXT VALUATION DATE ALLOWED BY THE
FUND PLAN.

(C)   PERMITTED INVESTMENTS.

A TRUST COMPANY DOES NOT HAVE A PROHIBITED INTEREST IN
THE ASSETS OF A COMMON TRUST FUND THAT IT ADMINISTERS MERELY
BECAUSE THE TRUST COMPANY OWNS IN ITS OWN RIGHT ANY STOCKS,
BONDS, OR OTHER OBLIGATIONS ISSUED BY A PERSON FROM WHOM THE
FUND ALSO HOLDS STOCKS, BONDS, OR OTHER OBLIGATIONS.

REVISOR'S NOTE: This section is new language derived
without substantive change from Art. 11, §
62(11) and (12).

The term "person" is defined in § 1-101 of this
article.

3-513. FUND ENTRY AND WITHDRAWAL; VALUATION; DISTRIBUTION.

(A)   TIME OF ENTRY AND WITHDRAWAL.

ENTRY INTO AND WITHDRAWAL FROM PARTICIPATION IN A
COMMON TRUST FUND MAY OCCUR ONLY ON A VALUATION DATE, OR, IF
PROVIDED BY THE PLAN, WITHIN 2 BUSINESS DAYS AFTER A
VALUATION DATE.

(B)   VALUATION.

PARTICIPATION SHALL BE BASED ON THE VALUATION AS OF THE
VALUATION DATE ASSOCIATED WITH THE ENTRY OR WITHDRAWAL.

(C)   DISTRIBUTION.

WHEN PARTICIPATION IS WITHDRAWN FROM A COMMON TRUST
FUND, THE TRUST COMPANY MAY MAKE DISTRIBUTION IN CASH,
RATABLY IN KIND, OR BOTH, BUT ALL DISTRIBUTIONS ASSOCIATED
WITH A VALUATION DATE SHALL BE MADE IN THE SAME WAY.

REVISOR'S NOTE: This section is new language      derived

without substantive change from Art.          11, §

62(5)(b)(i), except the first clause      of that
paragraph, and (ii).