Laserfiche WebLink
<br />4.1 Safety <br /> <br />Investments of the City of Elk River shall be undertaken in a manner that seeks to ensure <br /> <br />the preservation of capital in the overall portfolio. To attain this objective, diversification is <br /> <br />required in order that losses on individual securities do not exceed the income generated <br /> <br />from the remainder of the portfolio. <br /> <br />4.2 Liquidity <br />The City of Elk River's investment portfolio will remain sufficiently liquid to enable the City <br />of Elk River to meet all operating requirements which might be reasonably anticipated. <br /> <br />4.3 Return on Investment <br /> <br />The City of Elk River's investment portfolio shall be designed with the objective of attaining <br /> <br />a market rate of return throughout budgetary and economic cycles. The investment strategy <br /> <br />will take into account the constraints on risk and cash flow characteristics of the investment <br /> <br />portfolio. <br /> <br />4.4 Maintaining the Public's Trust <br />All officials and employees who are part of the investment process shall seek to act <br />responsibly as custodians of the public trust. Investment officials shall avoid any transaction <br />that might impair public confidence in the municipality's ability to govern effectively. <br /> <br />5.0 Delegation of Authority <br /> <br /> <br />Authority to manage the City of Elk River's investment program is derived from the following: <br /> <br />Minnesota Statutes 5118A. Management responsibility for the investment program is hereby <br /> <br />delegated to the Finance Director. No person may engage in an investment transaction except as <br /> <br />provided under the terms of this policy and the procedures established by the Finance Director. The <br /> <br />Finance Director shall be responsible for all transactions undertaken and shall establish a system of <br /> <br />controls to regulate the activities of subordinate officials. <br /> <br />6.0 Ethics and Conflict of Interest <br /> <br />Officers and employees involved in the investment process shall refrain from personal business <br /> <br />activity that could conflict with the investment program, or which could reasonably cause others to <br /> <br />question or doubt their ability to make impartial investment decisions. Employees and investment <br /> <br />officials shall disclose to the Finance Director any material fmancial interests in financial institutions <br /> <br />C:\Documents and Settings\tallard\Local Settings\Temporary Internet Files\OLKF\Investment Policy Update.doc <br />