No moneys of this state belonging to any sinking fund or other fund shall be invested by the state treasurer in any form of security without the prior approval of such investment by the state board of finance. The state board of finance, prior to approving any such investment shall make an investigation of the validity of any such security, including the authority for the issuance thereof and all proceedings leading up to such issuance, and of the adequacy of the means provided for the payment of principal and interest of such security, and shall by resolution adopted at a meeting of said board recite its findings on all said matters.

History: Laws 1925, ch. 86, § 1; C.S. 1929, § 112-301; 1941 Comp., § 7-208; 1953 Comp., § 11-2-8; Laws 1978, ch. 121, § 1.

Investment officer may use services of investment counselor or other sources of advice to aid in making an investment policy recommendation to the investment council. 1959 Op. Att'y Gen. No. 59-21.

State investment officer may invest state moneys in "closed-end" mutual funds subject to the restrictions provided for by this section. 1959 Op. Att'y Gen. No. 59-22.

Investment of funds of museum of New Mexico. — In investing funds belonging to the museum of New Mexico, the state treasurer and state board of finance may, in their discretion, utilize the same standards as govern the investment of public funds controlled by the state commissioner of public lands and as set forth in Section 6-8-10 NMSA 1978. but such enumerated investments are not controlling upon the board of finance and the state treasurer. 1964 Op. Att'y Gen. No. 64-29.

Am. Jur. 2d, A.L.R. and C.J.S. references. — Stock of private corporation, constitutional or statutory provisions prohibiting municipalities or subdivisions of state from investing in, 152 A.L.R. 495.

81A C.J.S. States § 225.