06-20-07 FPAC Minutes - Laserfiche WebLink

Home Browse Search

• 2. Manage a securities lending program by lending securities to approved borrowers, arranging the terms and conditions of loans,monitoring market values of the securities lent and the collateral received,reporting earnings and directing the investment of the cash collateral. 3. Settlement of Trades: All trades,where applicable,will be executed delivery vs. payment(DVP). This ensures that securities are deposited in the eligible financial institution prior to the release of funds. Securities will be held by a third party custodian, as evidenced by safekeeping receipts. 4. Collection of Income: Provide for receipt and prompt crediting of all dividend and interest payments received as a result of the Portfolio holdings. Monitor income receipts to ensure that income is received when due and institute an investigative process to track and correct late or insufficient payments, including reimbursements for any interest lost due to custodian error. 5. Reporting: Providing monthly reports showing individual asset holdings with sufficient descriptive detail to include units, unit price, cost, market value,cusip number(where available)and any other information requested by the City. V. ADMINISTRATIVE AND REVIEW PROCEDURES The following administrative and review procedures are intended to control risk and ensure policy compliance: A. A quarterly report prepared by the Treasury Manager will be provided to the Director of the Office of Financial Service,the Mayor,the City Council and the Board of Water Commissioners. B. An annual review of investment operations performed by the State Auditor. C. A desk procedures manual ("Administrative Procedures Manual")will be developed and maintained to include legal authority, policies,job responsibilities, processing investment transactions, eligible security dealers and financial institutions, and • securities descriptions. 8