Aspen View Regional Division No.19

POLICY: DFA

CATEGORY: BOARD INVESTMENTS

POLICY STATEMENT

The Board of Trustees believes that all investments should consist of high quality government and corporate bonds, strip coupons and GIC’s, or some combination thereof.

GUIDELINES AND PROCEDURES

1. The objective of all investments shall be

a. to preserve capital

b. to maintain liquidity

c to optimize interest earned

2. Asset classes eligible for investments

a. bonds, debentures, notes or other debt instruments of the Government of Canada, Provincial Government of Alberta, and government crown corporations.

b. guaranteed investment certificates of banks or other eligible issuers

c. cash, or money market securities issued by governments or corporations

3. Specific constraints by asset class

a. fixed income medium term investments

i. the minimum quality standard for bonds shall be DBRS rating AAA

ii. the weighted average maturity of the Medium Term Investment Portfolio is a maximum of 4 years

b. money market short term investments

i. at least 25% of the total Portfolio market value must be held in money market securities

ii. money market securities must be rated I-1 or equivalent

iii. maximum term of any single money market investment is one year

4. Prohibited investments

a. private placements

b. common or preferred shares

c. mutual funds

d. derivatives

e. commodities or commodity contracts

f. short sales

g. margin transactions

h. any speculative investment

Date of Adoption: September 6, 2005

Date of Amendment:

Review Date: September 2006

Legal Reference:

Cross-Reference: