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Investment Policy <br />July 2013 <br />Page 3 of 6 <br /> <br />• Commercial Paper <br />• State of California Local Agency Investment Fund (LAIF) <br />• Passbook Savings Accounts <br />• County of San Mateo Investment Pool <br />• Money Market Certificates <br />• Money Market Funds <br />• Corporate Notes <br /> <br />VII. AMOUNTS TO BE INVESTED <br /> <br />The City will invest all funds not required for its immediate needs. <br /> <br />VIII. GUIDELINES BY TYPE OF INVESTMENT <br /> <br />A. CERTIFICATES OF DEPOSIT: <br /> <br />Cash will be invested only in FDIC insured or fully collateralized certificates of deposit. <br />Collateral for a given investment must be 110% of principal for government securities <br />collateral and 150% of principal for first mortgage collateral. No more than 7.5% of the <br />City portfolio, not to exceed $3 Million shall be invested in any one institution. An <br />institution must meet the following criteria to be considered by the City: <br /> <br />For investments greater than $250,000, the institution must maintain $100 Million <br />in assets. For investments greater than $300,000, the institution must maintain <br />at least $300 Million in assets. <br /> <br />The City will not invest in any institution less than five years old. <br /> <br />The institution must maintain a net worth to asset ration of at least 3% and a <br />positive earnings records for the immediate past three years. <br /> <br />The institution must have on file with the City a current FDIC call report (banks) <br />or FHLB report. <br /> <br />The institution must be located in California. <br /> <br />The institution must have a jumbo certificate to total assets ratio of less than <br />50%. <br /> <br />The above requirements will be waived whenever the total amount on deposit <br />with any institution does not exceed $250,000; providing, that the institution is <br />insured by the Federal Deposit Insurance Corporation (FDIC). <br /> <br />B. BANKERS ACCEPTANCES: <br /> <br />The City will only invest through the 15 largest banks in the United States or the 100 <br />largest banks in the world (in terms of assets). The maximum investment with any one <br />institution will not exceed $3 Million (with a maximum maturity of 180 days). <br />6.1.I. - Page 9