(A) All city investment activities shall use a prudent person standard of care.
(B) This standard shall be applied in the context of managing an overall portfolio and specifies that investments shall be made with judgment 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.
(C) Investment officers, acting in accordance with this policy and the written procedures of the city and exercising due diligence, shall be relieved of personal responsibility for a security’s credit risk or market price/value changes; provided, deviations from expectations are reported in a timely fashion and appropriate action is taken to control adverse developments.
(Prior Code, § 1-5-14)