Page 280 - Colleyville FY21 Budget

more of the fair market value of the business organization:

2. Funds received by the investment officer from the business
organization exceed 10 percent of the investment officer's gross
income for the previous year; or

3. The investment officer has acquired from the business
organization during the previous year, investments with a book
value of $2,500 or more for the personal account of the
investment officer.

B. If they are related within the second degree by affinity or consanguinity,
as determined by Chapter 573 V.A.T.C.S. to an individual seeking to sell
an investment to the City of Colleyville.

Prudence

Investments shall be made with judgement and care – under circumstances
then prevailing – which persons of prudence, discretion, and intelligence
exercise in the management of their own affairs, not for speculation, but for
investment, considering the probable safety of their capital as well as the
probable income to be derived.

The standard of prudence to be used by investment officials shall be the
"prudent person", which means the officer may not be an expert but is
obligated to act responsibly and shall be applied in the context of managing
an overall portfolio. Investment officers acting in accordance with written
procedures and exercising due diligence shall be relieved of personal
responsibility for an individual security's credit risk or market price changes,
provided deviations from expectations are reported in a timely fashion and
appropriate action is taken to control adverse developments.

Investment officers shall notify the City Council in writing of any conflicts of
interest, as defined by the Public Funds Investment Act, no later than the next
regularly scheduled Council meeting.

It is the policy of the City that the Investment Officers perform their duties in
accordance with the policies and procedures set forth in this policy. The
Investment Officers of the City (City Manager, Chief Financial Officer and
Accounting Manager) shall be personally indemnified in the event of
investment loss provided the Investment Policy is followed.

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