§ 63M-1-1214. Compensation from the Utah fund of funds to the corporation -- Redemption reserve. (Effective 5/13/2014)

(1) The corporation shall be compensated for its involvement in the Utah fund of funds through the payment of the management fee described in Section 63M-1-1211.

(2) Before any returns may be reinvested in the Utah fund of funds:

(a) any returns shall be paid to designated investors, including the repayment by the Utah fund of funds of any outstanding loans;

(b) any returns in excess of those payable to designated investors shall be deposited in the redemption reserve and held by the corporation as a first priority reserve for the redemption of certificates;

(c) any returns received by the corporation from investment of amounts held in the redemption reserve shall be added to the redemption reserve until it has reached a total of $250,000,000; and

(d) if at the end of a calendar year the redemption reserve exceeds the $250,000,000 limitation referred to in Subsection (2)(c), the corporation may reinvest the excess in the Utah fund of funds.

(3) Funds held by the corporation in the redemption reserve shall be invested in accordance with Title 51, Chapter 7, State Money Management Act.

Amended by Chapter 334, 2014 General Session