1. (1) There is no dollar limit on a bank's investment in the following U.S. treasury securities:

   1. (a) bonds;
   2. (b) notes; or
   3. (c) bills.
2. (2) There is no dollar limit on a bank's investment in U.S. treasury bonds and notes in the form of separate trading of registered interest and principal of securities (STRIPS) .

3. (3) There is no dollar limit on a bank's investment in the following U.S. government agency ordinary debt issues:

   1. (a) farm credit system (FCS) :

      1. (i) consolidated FCS bonds;
      2. (ii) federal land bank bonds (FLB) ;
      3. (iii) federal intermediate credit bank bonds (FICB) ;
      4. (iv) banks for cooperatives bonds (BC) ; and
      5. (v) federal agricultural mortgage corporation (FAMC) ;
   2. (b) farmers home administration (FmHA) ;
   3. (c) federal housing administration (FHA) ;
   4. (d) federal home loan banks (FHLB) ;
   5. (e) federal home loan mortgage corporation (FHLMC) ;
   6. (f) federal national mortgage association (FNMA) ;
   7. (g) student loan marketing association (SLMA) ; and
   8. (h) United States postal service (USPS) .

4. (4) There is no dollar limit on a bank's investment in the following U.S. government agency mortgage-backed securities (MBS) , collateralized mortgage obligations (CMOs) and real estate mortgage investment conduits (REMICs) :

   1. (a) instruments issued by the federal home loan mortgage association (FHLMC) ;
   2. (b) instruments issued by the federal national mortgage association (FNMA) ;
   3. (c) instruments issued by the government national mortgage association (GNMA) ;
   4. (d) instruments issued by the federal agricultural mortgage corporation (FAMC) ;
   5. (e) FHLMC MBS pass through securities (PCs) ;
   6. (f) GNMA I, single issuer pass through PCs; and
   7. (g) GNMA II, single and multiple issuer pass through PCs.

Authorizing statute(s): Sec. 32-1-433, MCA

Implementing statute(s): Sec. 32-1-424, 32-1-433, MCA

History: NEW, 2002 MAR p. 166, Eff. 2/1/02.