South Dakota Codified Laws 51A-17-2. Permissible investments defined
The following investments are permissible under § 51A-17-10:
(1) Cash, including demand deposits, savings deposits, and funds in such accounts held for the benefit of the licensee’s customers in a federally insured depository financial institution, and cash equivalents, including Automated Clearing House network items in transit to a payee, cash in transit via armored car, cash in smart safes, cash in licensee-owned locations, debit card or credit card-funded transmission receivables owed by any bank, or money market mutual funds rated “AAA” by Standard and Poor or the equivalent from any eligible rating service;
Terms Used In South Dakota Codified Laws 51A-17-2
- Beneficiary: A person who is entitled to receive the benefits or proceeds of a will, trust, insurance policy, retirement plan, annuity, or other contract. Source: OCC
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
(2) Certificates of deposit or senior debt obligations of an insured depository institution, as defined in the Federal Deposit Insurance Act, 12 U.S.C. § 1813(c)(3), as of January 1, 2023, or as defined under the federal Credit Union Act, 12 U.S.C. § 1781, as of January 1, 2023;
(3) An obligation of the United States or a commission, agency, or instrumentality thereof; an obligation that is guaranteed fully as to principal and interest by the United States; or an obligation of a state or a governmental subdivision, agency, or instrumentality thereof;
(4) The full drawable amount of an irrevocable standby letter of credit of which the stated beneficiary is the director that stipulates that the beneficiary need only draw a sight draft under the letter of credit and present it to obtain funds up to the letter of credit amount within seven days of presentation of the items required by § 51A-17-2.5;
(5) One hundred percent of the security device or deposit provided for under § 51A-17-8 that exceeds the average daily money transmission liability in this state.
Source: SL 2008, ch 253, § 2; SL 2023, ch 159, § 2.