Page 473 - FortWorthFY23AdoptedBudget

City of Fort Worth

Department of Finance

Investment Policy and Strategy

Fort Worth Permanent Fund

I. INTRODUCTION AND SCOPE

It is the policy of the City of Fort Worth, Texas (the "City") that the administration and
investment of all City funds shall be handled in a manner that promotes the highest
public trust. The City Council has designated that certain funds obtained from mineral
rights owned by the City be placed in a trust for benefit of the City, with such trust to be
known as the Fort Worth Permanent Fund (the “Permanent Fund”) and to be invested in
accordance with this Policy. Those funds that have been obtained from mineral rights but
not designated as part of the Permanent Fund will be managed as part of the City
portfolio under the City’s General Portfolio Investment Policy and Strategy.

This Fort Worth Permanent Fund Investment Policy and Strategy (the “Policy”) sets
specific investment and strategy guidelines for funds placed in the Permanent Fund and
establishes controls to ensure effective and judicious fiscal and investment management.
The guidelines are intended to be broad enough to allow active investment within the
Policy parameters yet specific enough to adequately safeguard the assets.

II. GOVERNING AUTHORITY

All Permanent Fund investment activities shall be conducted in full compliance with
applicable City ordinances as well as state and federal regulations. Statutory regulations
generally applicable to the investment of public funds in Texas are found in the Public
Funds Investment Act, Chapter 2256, Texas Government Code (the “Act”), with a specific
provision applicable solely to municipal funds for the management and development of
mineral rights found in Sec. 2256.0202 of the Act, which incorporates by reference The
Texas Trust Code (Subtitle B, Title 9, Property Code). All investments of monies in the
Permanent Fund will be made in accordance with these statutes and this more restrictive
Policy. Collateral requirements are established in Texas by the Public Funds Collateral
Act, Chapter 2257, Texas Government Code.

III. OBJECTIVES

Page 473 of 623