08-Resolution of Investment Policy

Home Browse Search

2.1.37 Police Confiscated Funds-Gambling 2.1.38 Police Judicial Forfeitures Fund 2.1.41 Tax & Revenue CO 2000 Construction 2.1.42 CO Series 2002 Construction Fund 2.1.50 W&S Revenue Bond Reserve Fund 2.1.53 2010 Tax & Revenue I&S Fund 2.1.56 Tax & Revenue CO 2002 I&S Fund 2.1.58 2003 GO Refunding Bonds I & S 2.1.59 2010 GOIW&S Refunding Bonds I&S Fund 2.1.72 Library Memorial Fund 2.1.79 Library Expendable Fund 2.1.80 Library Permanent Fund 2.2 Non-Consolidated Cash Funds 2.1.00 All Other Funds 2.1.02 Economic Development Fund 3. PRUDENCE Investments shall be made with judgment and care--under circumstances then prevailing--which persons of prudence, discretion and intelligence exercise in the management of their own affairs, not for speculation, but for investment, considering the probable safety of their capital as well as the probable income to be derived. 3.1 The standard of prudence to be used by investment officials shall be the "prudent person" standard and shall be applied in the context of managing an overall portfolio. Investment officers acting in accordance with written procedures and the investment policy and exercising due diligence shall be relieved of personal responsibility for an individual security's credit risk or market price changes, provided deviations from expectations are reported in a timely fashion and appropriate action is taken to control adverse developments. 4.0 OBJECTIVE The primary objectives, in priority order, of the City's investment activities shall be: 4.1 SAFETY: Safety of principal is the foremost objective of the investment program. Investments of the City shall be undertaken in a manner that seeks to insure the preservation of capital in the overall portfolio. To attain this objective, diversification is required in order that potential losses on individual securities do not exceed the income generated from the remainder of the portfolio. 4.2 LIQUIDITY: The City's investment portfolio will remain sufficiently liquid to enable the City of meet all operating requirements which might be reasonably anticipated. 4.3 RETURN ON INVESTMENTS: The City's investment portfolio will be designed with the objective of attaining a rate of return throughout budgetary and economic cycles, commensurate with the City's investment risk constraints and the cash flow characteristics of the portfolio. 5.0 DELEGATION OF AUTHORITY AND TRAINING Authority to manage the City's investment program is derived from the City's charter and reconfirmed by adoption of this policy by the City Council. Management responsibility for the investment program is hereby delegated to the Director of Finance who shall be responsible for all transactions undertaken.