Page 490 - FortWorthFY23AdoptedBudget

be structured in a manner to provide diversification within each asset class and be
allocated within the ranges specified below:
Range Target
Equities 20%-40% 30%
Fixed Income 50%-80% 65%
Cash and Cash Equivalents 0%-20% <5%

The Trustee and its Sub Advisor is authorized by this policy to make asset
allocation decisions to reallocate or redirect either contributions or investments
held by the OPEB Trust Fund in order to take advantage of changing market
conditions. Any move that will cause the allocation of the investment classes to
vary from the above allocation percentages of any asset class requires approval by
the City Council.

The following are prohibited purchases/transactions:
1. More than 5% of the total equity allocation invested in individual
equity securities of any one company at market value
2. More than 5% of the total debt allocation invested in debt
instruments in any single issuer with the exception of US Treasuries
and agencies
3. Short sales
4. Margin or leveraged purchases
5. Commodities
6. Real estate (with the exception of REITs)
7. Art objects or collectables
8. Options
9. Warrants
10. Derivative investments
11. Oil and Gas Leases
12. Hedge Funds
13. Private Equity Funds
14. Precious Metals
15. Privately negotiated investment agreements with financial
institutions
16. Other investments classified as ‘alternative’

5. AUTHORIZED INVESTMENT INSTITUTIONS AND DEALERS
Purchases and sales of authorized investments will only be made through financial
institutions that are qualified as public depositories by the State of Texas or are
“primary dealers” as designated by the Federal Reserve Bank of New York or are

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