2019-06-28 Special Meeting Agenda

SPECIAL MEETING AGENDA   28 JUNE 2019




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SPECIAL MEETING AGENDA                                                                 28 JUNE 2019

  INVESTMENT OF SURPLUS 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 moneys held by
  Council on behalf of external parties (for example cash performance bonds).
  Investable funds will be determined against the cash flow needs of Council following the 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:
  e   deposits with a financial institution;
  e   interest bearing deposits;
  e   commercial paper;
  e   bank accepted/endorsed bank bills;
  e   bank negotiable certificates of deposit;
  e   short term bonds;
  e   floating rate notes;
  e   QIC Cash Fund; and
  e   QTC Capital Guaranteed Cash Fund, Debt Offset Facility, Fixed Rate Deposit (up to 12 months)
      and QTC Working Capital Facility.
  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 investment policy:
  e   derivative based instruments (excluding floating rate notes);
  e   principal only investments or securities that provide potentially nil or negative cash flow;
  e   stand-alone securities issued that have underlying futures, options, forward contracts and swaps
      of any kind; and
  e   securities issued in non-Australian dollars.

  Portfolio investment parameters and credit requirements
  The following table shows the credit ratings and counterparty limits for Council:
   Short Term Rating (Standard & Poor’s) or equivalent | Individual             Total Limit
                                                               Counterparty
                                                               Limit

   A1+ - Bond Mutual Funds

  [Unrated                                                   NE              NC
   QIC / QTC Pooled Cash Management Fund

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