Laserfiche WebLink
CITY OF REDWOOD CITY <br />INVESTMENT POLICY <br /> draft update: 8/28/17 7 <br />Company Act of 1940 (15 U.S.C. Sec. 80a-1 et seq.). If investment is in shares issued pursuant to <br />this paragraph, the company shall have met either of the following criteria: <br />(A) Attained the highest ranking or the highest letter and numerical rating provided by <br />not less than two NRSROs. <br />(B) Retained an investment adviser registered or exempt from registration with the <br />Securities and Exchange Commission with not less than five years’ experience managing <br />money market mutual funds with assets under management in excess of five hundred <br />million dollars ($500,000,000). <br /> <br />The purchase price of shares of beneficial interest purchased pursuant to this subdivision shall <br />not include commission that the companies may charge and shall not exceed 20% of the City’s <br />moneys that may be invested pursuant to this section. However, no more than 5% of the City’s <br />funds may be invested in shares of beneficial interest of any one mutual fund pursuant to <br />paragraph (1). <br /> <br />In addition, the City may invest in money market and mutual funds that are registered under the <br />Investment Company Act of 1940 that (1) are “no-load” (no commission or fee shall be charged <br />on purchases or sales of shares) and (2) have a constant daily net asset value per share of $1.00; <br /> <br />G. Local Government Investment Pools – Maximum 20% <br />Shares of beneficial interest issued by a joint powers authority organized pursuant to Section <br />6509.7 that invests in the securities and obligations authorized in California Government Code <br />section 53601 subdivisions (a) to (q), inclusive. Each share shall represent an equal proportional <br />interest in the underlying pool of securities owned by the joint powers authority. To be eligible <br />under this section, the joint powers authority issuing the shares shall have retained an <br />investment adviser that meets all of the following criteria: <br />(1) The adviser is registered or exempt from registration with the Securities and <br />Exchange Commission. <br />(2) The adviser has not less than five years of experience investing in the securities and <br />obligations authorized in California Government Code section 53601 subdivisions (a) to <br />(q), inclusive. <br />(3) The adviser has assets under management in excess of five hundred million dollars <br />($500,000,000). <br /> <br />H. Medium-Term Corporate Notes– Maximum of 30% <br />The City may invest in medium term notes, defined as all corporate and depository institution <br />debt securities with a maximum maturity of 5 years or less, issued by corporations organized <br />and operating within the United States or by depository institutions licensed by the United <br />States or any state and operating within the United States. Notes eligible for investment under <br />this subdivision shall be rated in a rating category of “A” or the equivalent or better, by an <br />NRSRO. No more than 5% of the City’s portfolio may be invested in the medium-term notes of <br />any one issuer or its affiliates. The aggregate investment in such securities shall not exceed 30% <br />of the City’s total portfolio. <br /> <br />I. Non-negotiable Certificates of Deposit – Maximum of 10% <br />The City may invest in non-negotiable certificates of deposit with a maturity not exceeding three <br />years, in state or nationally chartered banks or savings banks that are insured by the FDIC, <br />6.1.B. - Page 33