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How many section(s) does CHAPTER 218, PART IV - INVESTMENT OF LOCAL
GOVERNMENT SURPLUS FUNDS contain?
218.403 – Definitions
218.407 - Local government investment authority
218.415 – Local government investment policies
LOCAL GOVERNMENT INVESTMENT POLICIES
Authorized Investments, Written Policy includes
SEC Registered Money Market Funds – AAA Rated
• Authorized Investment Pools – SBA
• CDs or Savings Accounts from QPDs
• Direct Obligations of the US Treasury
• Federal Agencies & Instrumentalities
• Israel Bonds
• Registered Investment Company or Trust
How many investment component are there
and what are they?
1)Setting investment objectives
2)Implementing internal controls
3)Identifying and managing investment assets
4)Selecting and purchasing investments
7)Recording and accounting for investments 8)Monitoring the portfolio
9)Developing cash flows
10)Performing broker-dealer due diligence
11)Evaluating and reporting results
What is an investment policy?
A concise and clear statement of the objectives and parameters formulated by an investor or investment manager for a portfolio of investment securities
What are the general objective of investment?
What does AEPA stand for?
Pooling of funds
What is passive management strategy?
Minimizes the training and labor effort to attain market - average portfolio performance
What are some types of passive investment?
What is active management investment?
increase portfolio performance by exceeding market average rate of return
What are examples of active investment?
Downgrade investment quality
Yield curve analysis
CGFO exam review