Section 13-233. Trustees of funds; investments

a. The members of the board
  shall be the  trustees  of  the  several  funds  provided  for  by  this
  subchapter, and shall have full power to invest the same, subject to the
  terms,  conditions,  limitations  and  restrictions  imposed by law upon
  savings banks in the making and  disposing  of  investments  by  savings
  banks;   and,   subject  to  like  terms,  conditions,  limitations  and
  restrictions, such trustees shall have full  power  to  hold,  purchase,
  sell,   assign,  transfer  or  dispose  of  any  of  the  securities  or
  investments in which any of the funds provided for  by  this  subchapter
  shall  have been invested as well as of the proceeds of such investments
  and of any moneys belonging to such funds.
    b. Notwithstanding the provisions of subdivision two  of  section  one
  hundred  seventy-seven of the retirement and social security law, or any
  other provision of law  to  the  contrary,  the  amounts  which  may  be
  invested by the pension fund in securities pursuant to the provisions of
  paragraphs  (a), (b), (c), (d), (e) and (f) of subdivision twenty-six of
  section two hundred thirty-five of the banking law, shall be subject  to
  the  following maximum limits, in lieu of any such limits imposed by any
  other provision of law:
    (1) Not more than fifty per cent of the assets  of  the  pension  fund
  shall be invested in such securities; and
    (2)  Not  more  than five per cent of such assets shall be invested in
  the securities of any one corporation and its subsidiaries; and
    (3) Not more than two per cent of the  total  issued  and  outstanding
  equity  securities  of any one corporation shall be owned by the pension
  fund.