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Item 24 - Annual Statement of Investment Policy
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Item 24 - Annual Statement of Investment Policy
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Agenda Packet
Agency
Clerk of the Council
Item #
24
Date
6/1/2021
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<br /> <br />City of Santa - Annual Page <br />15 July 1, 2021 - <br />Statement of Investment Policy June 30, 2022 <br />• Unregistered securities – purchases of private resales of unregistered <br />securities to institutions, such as Securities Act of 1933, Section 5, Rule 144A <br />securities. <br /> <br />9.3 Prohibited Investment Practices <br /> Assets of the City shall not be invested pursuant to the following investment <br />practices: <br /> <br />• Trading of securities strictly for speculation or solely for the realization of <br />short-term trading gains. <br /> <br />• A contract providing for the compensation of an agent or fiduciary solely <br />based upon the performance of the invested assets. <br /> <br />• If a fiduciary or other third party with custody of public investment <br />transaction records of the City fails to produce records within a reasonable <br />time, when requested by the City, the City shall make no new investments <br />with or through the fiduciary or third party and shall not renew maturing <br />investments with or through the fiduciary or third party. <br /> <br />10.0 INVESTMENT POOLS/MUTUAL FUNDS The Executive Director for FMSA or his/her designee shall be required to investigate all <br />local government investment pools and money market mutual funds, other than the state <br />Local Agency Investment Fund (LAIF), prior to investing and perform at least a quarterly <br />review thereafter while the City is invested in the pool or the money market fund. <br /> <br />The City currently authorizes pooled investment fund deposits only with LAIF which is <br />authorized under provisions in Section 16429.1 of the California Government Code as an <br />allowable investment for local agencies even though some of the individual investments <br />of the pool are not allowed as a direct investment by a local agency such as the City of <br />Santa Ana. <br /> <br />Government sponsored investment pools (Local Agency Investment Fund (LAIF), County <br />Pools, Joint Powers Authority Pools, and the State Treasury Voluntary Investment <br />Program Fund), are sources for short-term cash management. <br /> <br />Before seeking City Council approval for participation in one or more additional <br />investment pools/money market mutual funds, the Executive Director for FMSA or his/her <br />designees will conduct a thorough investigation the prospective pool prior to <br />recommending City investment. <br />Before recommending investing in a prospective pool, the following issues must be <br />reviewed: <br /> A. The pool must meet the requirements of state statue. <br /> B. The pool must provide a written statement of policy and objectives.
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