Investment of funds.

All monies properly belonging to the fund shall be kept in a separate account or accounts, and may, in the discretion of the persons charged with the duties of administering the fund, be invested in any securities provided by law to be a suitable investment for trust fund monies pursuant to the laws of this state including, but not limited to, the following:

(1) Bonds, notes, or other obligations of the United States, or those guaranteed by the United States or for which the credit of the United States is pledged for the payment of the principal and interest or the dividends thereof.

(2) State bonds pledging the full faith and credit of the state and revenue bonds additionally secured by the full faith and credit of the state.

(3) Bonds of the counties and municipalities of the state which contain a pledge of full faith and credit of the county or municipality which issues the bonds.

(4) Savings accounts or certificates of deposit at any bank incorporated pursuant to the laws of this state or any national bank organized pursuant to the laws of the United States doing business and situated in the state, to the extent that the savings accounts are insured by the federal government or an agency thereof.

(5) Common or preferred stock and interest bearing obligations of a corporation having an option to convert into common stock, issued by a corporation organized pursuant to the laws of the United States or any state or organized territory of the United States, or the District of Colum- bia, provided both of the following guidelines are followed:

a. The corporation is listed at the time of the investment and has been listed for at least 36 months prior to the investment on one or more of the recognized national stock exchanges in the United States.

b. Not more than 75 percent of the assets of the fund is invested by the trustees pursuant to this subdivision.

(6) Notes, insured or guaranteed by the Federal Housing Administration or the Veterans Administration, secured by first liens or deeds to secure debt on real property located in the state.

(7) Interest bearing obligations of the International Bank for Reconstruction and Development or the Inter-American Development Bank.

(8) Group annuity contracts of an investment type issued by an insurance company authorized to do business in this state. )

(Acts 1956, 1st Sp. Sess., No. 107, p. 154, §5; Acts 1963, No. 235, p. 636, §5; Act 2000-643, p. 1288, §1.