Ohio Administrative Code › Title 3358:5 - Clark State College › Chapter 3358:5-11 - College Policies on Expenditures, Technology In General › Section 3358:5-11-33 - Investment Policy

Current through all regulations passed and filed through July 1, 2024
The purpose of the investment policy is
				to ensure the safety, liquidity and earnings potential while meeting the
				college's cash flow needs and providing a reasonable return on investment,
				while keeping risk low, within the constraints of this policy.
(A)
								Sections
			 3358.06,
			 3345.05,
			 3354.10,
			 and
			 135.14
			 of the Revised Code and other applicable provisions of the Ohio Revised Code
			 will guide the college's investment policy and procedures.
(B)
								Authority to set
			 policy for the college's investment activities falls on the board of trustees.
			 the treasurer, with counsel of the board of trustee's finance and facilities
			 committee, will be charged to maintain and update the College's policy on
			 investing.
(C)
								This policy applies to all financial assets of the
			 college, including state and federal funds held by it, to the extent allowable
			 by state or federal guidelines. The treasurer and/or staff shall routinely
			 monitor the contents of the college's investment holdings, the available
			 markets and relative value of competing investments and adjust their holdings
			 accordingly.
(D)
								The Treasurer and/or staff will use prudence in the
			 management of the college's investments. The college will exercise due
			 diligence in making choices that keep the college's risk in investing low,
			 while still providing a reasonable return on investment.
(E)
								Those involved in
			 the investment process will refrain from activities that are or could be
			 construed as a conflict of interest. The treasurer and/or staff involved in the
			 investment process shall refrain from personal business activity that could
			 conflict with the proper execution and management of the college's investments.
			 They shall disclose any personal financial and investment positions that could
			 be related to the performance of the investment portfolio.
(F)
								Acting in
			 accordance with the investment policy relieves the treasurer and/or staff from
			 personal liability for the negative effects of risk that are inherent in
			 investing.
Investment committee
(G)
								Division (C) of section3345.05
			 of the Revised Code requires the establishment of an investment committee. The
			 board finance and facilities committee shall serve as the investment
			 committee.
(H)
								Objectives - The primary objectives, in priority order,
			 of the college's investment activities shall be:
(1)
									Safety: Safety of
			 principal is the foremost objective of the investment program. Investments of
			 the college shall be undertaken in a manner that seeks to ensure the
			 preservation of capital in the overall portfolio.
(2)
									Diversification:
			 Diversification of assets and maturities is required in order to avoid
			 potential losses on individual securities that may exceed the income generated
			 from the remainder of the portfolio.
(3)
									Liquidity: The
			 college's investment portfolio will remain sufficiently liquid to enable it to
			 meet all operating requirements, which might be reasonably anticipated. An
			 investment must be liquid within five years, per the Ohio Revised
			 Code.
(4)
									Return on investment: The college's investment
			 portfolio shall be designed with the objective of attaining a market rate of
			 return throughout budgetary and economic cycles, taking into account this
			 investment policy and the cash flow characteristics of the
			 portfolio.