The funds of the City of Hurstbourne available for investment shall be invested in accordance with this policy and all applicable state statutes. Authorized investment instruments per KRS 66.480:
(A) Obligations of the United States and its agencies and instrumentalities, including obligations subject to repurchase agreements, provided that delivery of these obligations subject to repurchase agreements is taken either directly or through an authorized custodian.
(B) Obligations and contracts for future delivery or purchase of obligations backed by the full faith credit of the United States or a United States government agency, including but not limited to: United States Treasury; Export-Import Bank of the United States; Farmers Home Administration; Government National Mortgage Corporation; and Merchant Marine Bonds.
(C) Obligations of any corporation of the United States government, including but not limited to: Federal Home Loan Mortgage Corporation; Federal Farm Credit Banks; Bank of Cooperatives; Federal Intermediate Credit Banks; Federal Land Banks; Federal Home Loan Banks; Federal National Mortgage Association; and Tennessee Valley Authority.
(D) Certificates of deposit insured by or other interest-bearing accounts of any bank or savings and loan institution which are insured by the Federal Deposit Insurance Corporation or similar entity or which are collateralized, to the extent uninsured, by any obligations permitted by KRS 41.240(4).
(E) Bonds or certificates of indebtedness of this state and of its agencies and instrumentalities.
(F) Securities issued by a state or local government, or any instrumentality of agency thereof, in the United States, and rated in one of the three highest categories by a nationally recognized rating agency.
(G) Shares of mutual funds and money markets, each of which will have the following characteristics:
(1) The mutual funds shall be an open-end diversified investment company registered under the Federal Investment Company Act of 1940, as amended;
(2) The management company of the investment company shall have been in operation for at least years;
(3) All of the securities in the mutual fund shall be eligible investments under this section.
(H) Limitation on Investment Transactions With regard to the investments authorized in this section, no investments shall be purchased for the City of Hurstbourne on a margin basis or through the use of any similar leveraging technique.
(Ord. 12-06, passed 9-25-12)