2015-06-29 Special Meeting Agenda

INVESTMENT OF COUNCIL FUNDS POLICY


Investment Parameters

Investable funds

For the purposes of this policy, investable funds are the moneys available for investment at any one
time and include Council’s bank account balance. Included in this balance is any monies held by
Council on behalf of external parties.

The investable funds should be matched against the cash flow needs of Council deemed by the
Manager Financial Services following adoption of the annual budget.

Authorised investments

Without specific approval from Council or the Treasurer, investments are limited to those prescribed
by Section 6 of the Statutory Bodies Financial Arrangements Act 1982 for local governments with
Category 1 investment power, which include:

    Category                   Type

    Preferred Investments      Deposits with a financial institution
                               Interest bearing deposits
                               QTC Capital Guaranteed Cash Fund
                               QTC Debt Offset Facility
                               QTC Fixed Rate Deposit (up to 12 months)
                               QTC Working Capital Facility

    Optional Investments       Commercial paper
                               Bank accepted/endorsed bank bills
                               Bank negotiable certificates of deposit
                               Floating rate notes


Prohibited investments

This policy prohibits any investment carried out for speculative purposes. The Manager Financial
Services may include a prohibited investments list within the investment guidelines.

The following investments are prohibited by this policy:
     Geared investments;
     Derivative based instruments (excluding floating rate notes);
     Principal only investments or securities that provide potentially nil or negative cash flow;
     Stand-alone securities issued that have underlying futures, options, forward contracts and swaps
      of any kind; and
     Securities issued in non-Australian dollars.




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