(a) In order to increase investment income with minimal risk, the Treasurer of State may loan securities held under this subchapter, but only if at the time the loan is executed at least one hundred two percent (102%) of the full market value of the security loaned is collateralized by cash or securities guaranteed by the United States Government or an agency of the United States Government.(b) At all times during the term of the loan, the collateral shall be equal to not less than ninety-eight percent (98%) of the full market value calculated on the total value of all securities on loan.(c) For purposes of this section, the value of the collateral shall be determined on a daily basis.Amended by Act 2019, No. 388,§ 1, eff. 7/24/2019.Amended by Act 2017, No. 296,§ 1, eff. 2/28/2017.Acts 1997, No. 1179, § 7.
Arkansas Legal Code