Laserfiche WebLink
• Authorized Financial Dealers and Institutions: <br /> The City of Arden Hills will conduct its investment transactions with 1)financial <br /> institutions located in the State of Minnesota that are designated as depositories by the <br /> City Council and 2)only brokers and dealers of government securities that report directly <br /> to the New York Federal Reserve Bank. The City will conduct its investment business <br /> with the most reputable firms. <br /> At the first Council meeting of each year,the Treasurer shall offer to the City Council a <br /> list of financial dealers and institutions to be authorized in an appropriate resolution,to <br /> provide investment service. <br /> Authorized and Suitable Investments: <br /> The City is empowered to invest only in securities which are permissible under <br /> Minnesota Statute Section 475.66. These securities include Federal Debt,Mutual Funds, <br /> State and Local Debt Banker's Acceptances,Commercial Paper,Guaranteed Investment <br /> Contracts,Mortgage Backed Securities and Repurchase and Reverse Repurchase <br /> Agreements. However,the intent of this policy,with the sole exception of permissible <br /> securities held in money market funds,is to limit the City's investments to Federal Debt • <br /> obligations. <br /> Federal Debt: <br /> • Government bonds,notes,bills,mortgages,and other securities,whichare direct <br /> obligations or are guaranteed or insured issues of the United States, its agencies, its <br /> instrumentalities,or organizations created by an Act of Congress,excluding mortgage <br /> backed securities defined as high risk as defined by MN Statute 475.66 Subd. 5 and <br /> derivative products. <br /> Diversification: <br /> Assets held in the investment portfolio shall be diversified to minimize the risk of loss <br /> resulting from over-concentration of assets in a specific maturity(maturities shall be <br /> staggered in a way that avoids undue concentration of assets in a specific maturity <br /> sector),a specific issuer or a specific class of securities. Single transactions in the excess <br /> of$1 million require prior approval of the City Council. Investment target goals by <br /> security category will be 15%in cash or cash equivalents 65%of fixed rate instruments <br /> and 20%in zero coupon instruments. <br /> • <br /> 3 <br />