Reso 2024-3616 - Laserfiche WebLink

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a) Structuring the investment portfolio so that securities mature to meet cash requirements for ongoing operations, thereby avoiding the need to sell securities on the open market prior to maturity; b) Investing operating funds only in the authorized securities listed in this policy. B. Liquidity of Funds The City's investment strategy will provide sufficient liquidity to meet the City's operating, payroll, and capital requirements. To the extent possible, an attempt will be made to match investment maturities with known cash needs and anticipated cash flow requirements. Since all possible cash demands cannot be anticipated, the portfolio should consist largely of securities with active secondary or resale markets. A portion of the portfolio also may be placed in money market mutual funds or local government investment pools which offer same-day liquidity for short-term funds. C. Investment Income The City's investment portfolio shall be designed with the intent of attaining a competitive rate of return throughout the budgetary and economic cycles, taking into account the City's investment risk constraints and liquidity needs. Return on investment is of secondary importance compared to the safety and liquidity objectives described above. D. Investment Decisions In accordance with Section 218.415(24), F.S., and notwithstanding any other law, when deciding whether to invest and when investing public funds pursuant to this section, the City must make decisions based solely on pecuniary factors and may not subordinate the interests of the people of this state and municipality to other objectives, including sacrificing investment return or undertaking additional investment risk to promote any nonpecuniary factor. The weight given to any pecuniary factor must appropriately reflect a prudent assessment of its impact on risk or returns. As used in this section, the term "pecuniary factor" means a factor that the City, or the respective principal officer of the City, prudently determines is expected to have a material effect on the risk or returns of an investment based on appropriate investment horizons consistent with applicable investment objectives and funding policy. The term does not include the consideration of the furtherance of any social, political, or ideological interests. III. ETHICAL STANDARDS The standard or prudence to be applied by the Finance Director or designee shall be the "Prudent Person" rule, which states: "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 46,