Policy 03:060
Investments

The University invests available financial resources in short- and long-term markets to preserve capital and to provide additional revenues.  As the custodian of public funds and student-generated revenues, the University’s investment policy is conservative.

Criteria

The criteria to select short- and long-term investments are:

1. Instruments which carry the "full faith and credit" of the U. S. Government; i.e., direct obligations of the U. S. Treasury;

2. Negotiable certificates of deposit (CD's) in amounts either totally insured by the Federal Deposit Insurance Corporation (FDIC) or covered by pledged collateral of the banking institution;

3. Obligations issued or guaranteed by an agency or instrumentality of the United States of America, which are rated in the highest rating category by one or more nationally recognized organization(s) that regularly rate such obligations; and

4. Interest on checking accounts.

No other types of investments are authorized.

The University compares rates of return on all feasible authorized investment mediums prior to making investments and invests in those mediums expected to pay the highest return for the period of time for which the funds are available for investment.

    The Vice President for Business Affairs, or designee, is responsible for safeguarding the University's assets through appropriate investments as described in this policy and for evaluating the effectiveness thereof.

Approved 2/99

Last Revised 2/04