(i) Farm Loan Bank.

(ii) Commodity Credit Corporation.

(iii) Federal intermediate credit banks.

(iv) Federal land banks.

(v) Central bank for cooperatives.

(vi) Federal home loan banks and stock thereof.

(vii) Federal National Mortgage Association and stock thereof.

(viii) International Bank for Reconstruction and Developments.

(ix) Inter-American Development Bank.

(x) Asian Development Bank.

(xi) African Development Bank.

(xii) Any other similar agency of, or in which there is participation by, the government of the United States, and the instruments are of similar financial quality.

(i) Stock, warrants, rights or other security, bonds, notes or obligations issued, assumed, guaranteed, insured or accepted by any solvent corporation, joint-stock association, business trust, business partnership, business joint venture or other business entity or combination thereof incorporated or existing under the laws of the United States or of any state, district or territory thereof, and any interest in any of the foregoing: Provided, That no domestic company shall invest in any general partnership but may become a limited partner in a partnership in any investment on the following conditions:

(ii) Interest-bearing deposits, or certificates of deposit in banks, bank and trust companies, savings banks, savings associations, savings and loan associations or national banking associations, incorporated or existing under the laws of the United States or any state, district or territory thereof, including branches of any of the foregoing, or foreign banking institutions or branches thereof located in the United States or any state, district or territory thereof: Provided, That investments under this clause in interest-bearing deposits and certificates of deposit issued by institutions incorporated under foreign law, exclusive of such deposits and certificates issued by branches of such institutions located in the United States or any state, district or territory thereof, shall be limited to twenty per centum (20%) of such company's assets, such investments qualifying in addition to those authorized by clause (3).

(iii) Obligations which are not issued, assumed, guaranteed or accepted by any person described under subclause (i), but are adequately secured by an assignment of a right to receive rent, purchase or other payment or revenues, for the use or purchase of real or personal property sufficient to repay the investment, and payable or guaranteed by any one or more persons or entities whose bonds, notes or obligations would qualify for investment under this clause or a mortgage, interest in a mortgage pool or mortgage participation or lien or security interest in real or personal property or any interest therein.

(i) A company shall not enter into financial futures contracts except as a hedging transaction as that term is defined in a rule or regulation promulgated pursuant to this act.

(ii) A company shall not have initial or maintenance margin outstanding under this clause of more than ten per centum (10%) of the excess of its capital and surplus over the minimum requirements of a new stock or mutual company to qualify for a certificate of authority to write the kind of insurance which the company is authorized to write.

(iii) The Insurance Commissioner may promulgate reasonable rules and regulations for transactions under this clause to include, but not limited to, rules and regulations which impose financial solvency standards, valuation standards and reporting requirements.

(i) a company shall not sell a call option on either (A) securities it does not own or (B) in an amount greater than securities which it presently owns: Provided, however, That in the case of financial futures contracts and stock or bond index contracts where it is not feasible to own the underlying security, a company may sell a call option only in connection with a hedging transaction;

(ii) a company shall not sell a put option unless its obligations under such put option are fully secured by a deposit by the company with a bank or other custodian of cash or cash equivalents;

(iii) a company shall not purchase as opening transactions under this clause more than ten per centum (10%) of the excess of its capital and surplus over the minimum requirements of a new stock or mutual company to qualify for a certificate of authority to write the kind of insurance which the company is authorized to write; and

(iv) the Insurance Commissioner may promulgate reasonable rules and regulations for transactions under this clause to include, but not be limited to, rules and regulations which impose financial solvency standards, valuation standards and reporting requirements.

(i) Definitions:

(ii) Lending of securities, repurchase agreements and reverse repurchase agreements transactions are authorized on the following conditions:

(i) Loans or investments not authorized by any of the clauses of this section, to an amount not exceeding the aggregate of twenty per centum (20%) of such company's admitted assets. The twenty per centum (20%) limitation provided above shall be increased in the same amount that investments approved by the Insurance Commissioner are made in the following categories of investments provided that their principal operations or locations are located in this Commonwealth:

However, in no event may the percentage limitation under this clause exceed the aggregate of twenty-five percentum (25%).

(ii) For each one-half percentum (.5%) of such company's admitted assets invested in categories (A) through (G) of subclause (i) of this clause whose principal operations or locations are located in this Commonwealth, investments under other clauses of this section may exceed the volume limitations set forth in such other clauses by an aggregate of two and one-half percentum (2.5%) of the company's admitted assets, but in no event may such excess investments exceed a maximum of five percentum (5%) of admitted assets; however, such excess investments shall be charged against the limitation established in subclause (i) of this clause.

(iii) The Insurance Commissioner shall promulgate reasonable rules and regulations for transactions under this clause to include, but not be limited to, rules and regulations which impose financial solvency standards, valuation standards and reporting requirements.