North Dakota Administrative Code
Title 13 - Department of Financial Institutions
Article 13-03 - Credit Unions
Chapter 13-03-22 - Investment Activities
Section 13-03-22-02 - Permissible investments

1. Bonds of the United States without limitation in securities issued as direct obligations of the United States government or any agency thereof and in any trust established for investing directly or collectively in such securities.

2. Bonds or evidences of debt of this state or in bonds of states of the United States.

3. Bonds or certificates of indebtedness of any county, city, or school district, issued pursuant to authority of law, subject to a limitation of thirty percent of the assets of the credit union.

4. First lien, public utility, industrial, corporation, or association bonds, notes or other evidences of debt issued by corporations located in the United States to the extent authorized under chapter 13-03-03. These investments must be rated in one of the four highest rating categories by a nationally recognized statistical rating organization registered with the securities and exchange commission. In the case of different ratings from different rating organizations, the lower rating applies.

5. Shares of a registered investment company or collective investment fund, as long as the prospectus of the company or fund restricts the investment portfolio to investments and investment transactions that are permissible for state-chartered credit unions.

6. Corporate credit union shares or deposits, including paid-in or membership capital. A credit union's aggregate amount of paid-in capital and membership capital in one corporate credit union is limited to two percent of its assets measured at the time of investment or adjustment. A credit union's aggregate amount of paid-in capital and membership capital in all corporate credit unions is limited to four percent of its assets measured at the time of investment or adjustment.

7. Certificates of deposit or other deposits issued by federally insured state or national banks, mutual savings banks, trust companies, or issued by an insured financial institution located in a territory of the United States that is either insured by the federal deposit insurance corporation or by the national credit union administration. Included in these deposits are yankee dollar deposits, Eurodollar deposits, banker's acceptances, deposit notes, and bank notes with original weighted average maturities of less than five years.

8. Variable rate investments as long as the index is tied to domestic interest rates and not, for example, to foreign currencies, foreign interest rates, or domestic or foreign commodity prices, equity prices, or inflation rates.

9. A fixed rate or variable rate collateralized mortgage obligation or real estate mortgage investment conduit issued by an agency of the federal government.

10. Derivative products but only for the purposes of managing interest rate risk and subject to the limitations outlined in section 13-03-22-16.

11. Charitable donation accounts subject to the limitations outlined in section 13-03-22-17.