Question:
Can Hoa reserves be invested in cd or mutaul funds , if not , What are the laws on investing in ky
– Joe
Answer:
Kentucky law currently does not address this. Ohio law, though, gives the board the power to “invest excess funds in investments that meet standards for fiduciary investments under the laws of this state” (Ohio Planned Community Law Section 5312.06). However, it is important to note that the section pertains to excess funds and not reserve funds specifically.
Check your governing documents to know if your board has the power to invest reserve funds. When investing reserves, make sure to consider liquidity and safety as your top priorities. All investments carry some level of risk, including mutual funds.
Disclaimer: We are not lawyers. The information provided on this website does not constitute legal advice.