Page 444 - FortWorthFY22AdoptedBudget

authorized until this Policy is amended and adopted by the City Council. All
investment transactions will be placed in an effort to achieve a fair and reasonable
return under all circumstances and in light of other investment alternatives available.

1. Obligations of the United States Government, its agencies and instrumentalities
including mortgage backed securities and collateralized mortgage obligations
(CMO) which pass the Federal Reserve’s bank test, with a maximum stated
maturity of twenty (20) years.

2. FDIC insured and/or collateralized depository certificates of deposit from banks
in the United Sates, with a maximum maturity of three (3) years.

3. Commercial paper rated A1/P1 or equivalent by two nationally recognized
rating agencies, with a maximum maturity of 365 days.

4. AAA or equivalent rated constant dollar, Texas local government investment
pools as defined by the Act.

5. AAA-rated United States Institutional government money market mutual funds.

6. Debt obligations of any state or political subdivision of any US state, rated A or
better with a stated maturity not to exceed ten (10) years.

7. Fully collateralized, direct repurchase agreements executed through a primary
government securities dealer, with a maximum maturity of one (1) year. A Bond
Market Association Master Repurchase Agreement, 102% margin, and
independent third party safekeeping are required. (See section IX)

8. Banker’s acceptances with a maximum maturity of 120 days accepted by a US
registered bank with a short term rating of not less than A1/P1 by two nationally
recognized rating agencies.

9. Domestic bond mutual funds with a maximum weighted average maturity of ten
(10) years with a Morningstar rating of at least two stars if available. If a fund is
less than three years old and lacks a Morningstar rating, that fund may be
selected only if it has been recommended by an investment management firm
under contract as Trustee of the Permanent Fund.

10. International bond mutual funds with a maximum weighted average maturity of
fifteen (15) years with a Morningstar rating of at least two stars if available. If a
fund is less than three years old and lacks a Morningstar rating, that fund may be
selected only if it has been recommended by an investment management firm
under contract as Trustee of the Permanent Fund.

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