FMTF02-14-01SMBOARD OF TRUSTEES
Florida Municipai Tau[ Find Reuren,eni Plan and'L--r
For the Fnefighre-and Police Office-, Gi} of Longaoad
Cammusion Chamb— 17f \V, \^— ,i.enue, Long—d.. Flonda
MINLI'ES
Special Meeong
Febniary11,2-
11resem: Ch- J.—Rebello
Vice Chalr]anxs B, &hhe
Member George Hadges
Ateniher Sll— Eisen
Meo>berJohv P...11,
B,dlm D. B.,—,h_ GM(;_, Recording Secleraly
John i. Dow. Cry Adminisuamr
1. Call [o Order.
The choir called a special meeting eo —1—,, 416
_. AGENDAITEM 2:RECOMMENDATION-City Commision ieconmrend the
Board of Tnurees of the Cirgof Long++roai Firefighters and Police Officers Pen,- I'nm
Fund read b+ dde only and adopt Resah,d- PTO' -I anrendin; and r<narmg dhe
I--_ Pohcyo(d+e Plan and T—, for Plraflghre -and IV- Office,.
Mr. Drago spoke m the !I,.nunng dur nI- , Gn had rerai-ed she Mid, U,a of cries
(League) for plan ad...... pion vui inveswenrs, dIe oIigm,l ronrraa cicmed three docunxnis
- the Adopuan _Agreemenu ifie Plan Do ,,—,,. and the Ivtasrer Tnu�. The AIasrer Ti,,,
Agree nincladed r[—,desrnn=n�l>T--_ Inorderro comply Fl—Florida LFSv 1eln.esrn,ent
Pohl+.as separated From the Masrcr inul{,�eemenr. Under Florida lan�-FhL—h.n+ as Lar
as pension pla�u a=ere concerned. the Iocal Board of Tnurees-}ron f+e - ha+e the ainhonnro
a tithe In.ennrem PoGR-only. The GryC mnission,abicli s'iu as Tnume forchr aholc flan,
has the au�horin-�o amend dre :\doprion A�reonxn� and dse Plan D.--,,, for the Nfasrer Tars,
The Cgmniiaion, tit irs Feb—, T9, °001, nreer,'ill 1- a final heann_e, for the 11 n , Civx
;greo— hich had m -men be ded. I n essence the Commission +,�s.ssl<ing this Boardmadopt
,,, lnvenn,ent Polic} Iehri+e ro the F"ncfahre... and Police Office-P-,ion True Fund.
Mr_ Dry,o e,pl,i I -and Members posed arum ho vrions roles o(rhe
Leave the Coninriuion, and ehm Berard.
MSRC[Hndges/Eisen] moved m adapt Resolution No. PTF01-1, chn[being: A Resolution
ofd+e Board of T,,srees oflhe Firefghmrs'and Police Officers Pension Tnse Fund, Cil
of Longwood, Adopting the Inresonent Polic. of the
Fu,f ghters' and Pc,lk, Officers' Pension Tn-, Fund, Pros-idmg for Conflicting
Resoluoons; and P—idmg an Effecd+e Dare, nnnnimously adoprcd bya mIl call vom.
Mir
Plonda �Iem�ipal Tow FunJ Henrcniem Plan and Tom
[or�fieF efishi�NI Pofa Ofli�.ns, 6ry of Lovgnnai
Pebwnt4..'.001
vg` _
3. AGENDA II'EM3: RECOMMENDATION -0, Commission rec--ds the
Board of Tmslees of the Gzyof Longwood Fre6gh— and Police Officers Pass-,fi n
Fund azrthonze:he espendimre of $4,50.;forconsulnn:s m prepare she approp,iee
docun....... d ropons so amend the n,ennr Pension Tn,n Fund and aushomee the
expendin,re of Si_- ro purchase SK,'= of life insurance for each of she numbers oldie
Pension T—, Fund.
1+1r- Dragoencayssulared the fine componenrs wiWhch—dshePlanFunher,hee,plkied:h—
spreadslrecrsrelni�;,m0-oifcers andd r—rehdfirefighters,
ug10 refigh, forshe benefis of
chose Members who we,e uwBle so auend :he December M, nseeling
MSRC[Hodges/Berkshire] mooed m opp— the eapendlt— of drew funds for the legal
feces, preparadon of die Inipace and Acn�adul Ewalnadon, and pureh.— d she life insumnce.
Unanimously nppmaed by a roll call - ,
a. AGEvDA 1'FEM is RECOMMENDATION -Staff hB e oard of Tmssees
of die Cary of Longwood FireGghie,s' and Pdim Officer,' Pension T—a Fend revie,
approve a Fiscal Ycur;.001 Budge,, sad aulhonae swo or three MenaI— �o agreed dhe ?3"'
Anneal Poem Olfcea and Fu,tigh-, Tnv,ces' Sdool Program in Tnllahaavu, March
ihmugh M-1, i C01.
Chair Rebe0o eeplained the reason ..s m whychi, plamd on die Special Mewing Agenda,
avd char axis dsas the School Program w.ss p,1or ro rbe nev rx¢ularlaschnivled Baud o(Tnu�ees
Vire G,.,ir Bnrkshim ked if shore mendng hadm be a ni, mensbaron,he B—i asa police
officer (Officer Sman) had expressed inre,ess in avenNng.
V4. D.F. pointed our -:has nd:h -vend fonds and should Board ylembers 6e
,noble io aeend she School Program- she Boned he Retarding Seeman-, Bedin
Boswoniv or a police officer or li,efighser wi,o :and —he Pension Tnn: Hmd io arrend.
Membu Essen slmed her preference mould be m Bond — people for sw-o d,, die 1 �'' a,id 14' .
MemberPonzella e,p—,,d his ,,even in.rt leas, Iu.-i, one IinYigb,er and one police olfcer,ifs
all po"ibl"
Member Hodges s..ned he could nor arraid ss he had a good numlaerof dionu during d,i: cam
.Winch "I,..
RLSOLUTION NO. PTFnI_I
.1 RESOLUTION OF THE BOARD OF "I RLSTEES OF TFIE
FIRLI IGI I H RSAND POLIC E OFFICERS' PENSION TRL ST Ft, \ D,
CITY OF LONG W OOD. SEHI INOLE COLN i v. FL.OR IDA.
ADOPTING'111 E IN V ESTNIENIT POLICI' OF THE FIREFIGHTERS'
AND POI IC E OFFICI RS PI NSIONTRI ST FUND. PRO—ING
FOR Co
FLICTIVG RESOLUI O.NS: AND PROVIDING AN
LFFFCEIVF DATE.
I HERE.4S, 111, City Commission eslnblished a Relirenicnl Plun :Ind Trlssl far the
Fleeli�Il�i :md Police Ofh. ....I p�Irsuxnl In Resolmion\a_9S-
S'J. as.wbse9nenlly;Imended; rind
))'HERT IS. 1h� Renr�n��nl Plan snd r�ICI avrcenlclll ��as c���vlai on
Dco.mb", 11999, and
HEREAS, Seclioll 11'_6GI, II—da Si"" dales Iha1 in�eslmems oflhc
polionv loenl relicem.m s�nem or Plan In I.sI bs consisluil ��-iih v �.Iilten In��slnvcnl
ndoplN bt'the Boelt); and
WHEREAS, the Cly of Lnny�. uod Firefi�hlers'ond Po lice Oh N, P�iision
Teu3t Fnnd is a pvniclpanl in the Florida �1�ulieip,Il Pension Tn151 Filnd I-FTF) and
pnniciPation in the Flondn Mnnieipvl Pension TI'lISI Fund Icqulr5 adoption nflhe
F4IPTFS In�'zslmcnt Polity; and
t)'HERU1. 11111 n 112 6111111, Florida S1a1u1u. rcquires far coniinuin�
Nueation nl the Baord nienihel's in O"w", nd the B-,j
rNnNan�rlve_�
NOW, TIi ERFFORI-,[1F IT FISOLVFD BY THI BOARD OF TRt SFI I OF
TFIFCITE" OF I.ON- 000 FIRE FIG H I E ILS' A\U PO L ICE OFFIC ER.> PEN 510N
TRUST F-tiND AS FOLLOWS:
SECTION I'. The D""I'd of Tnl�ten'ol the C, of Wnss��-ood Fiieliil��er and
Polity OlTe.s Pension Tlnsl Fnlld in lu capacilvns lhi go�cnint; hndy uflhn Cry of
Long—.1 Firefiehler n"I Police 011ie— Prnsiun Tnist Fund hccb. npPia.'.. Ihi
mrrlmenl Police OF Flhe Florid, \IUII'ie'ipal Pension TOFF Fumt a, the BaW's
I—,0- Police IN, l he Cly11d Police OR—'PLmion
OLIs1 I-und.
FLORIDA MUNICIPAI, PENSION'f RUST FUND
INVESTMENT POLICY
A,,,u,rlerl nr,d Rer[oteA4�,e,rtr,urr 1'o[Iry Ae(aPted Dece,,,ber 10, 2U00
Ef ume Oceober 1, 2000
AU'I'NORITY
The Master Twat -- made as of the 16"' day of December, 1983, and az emended and
slated as of the 1" day of Oc(ober, 2000, by and between all parties who arc now or may
I creaRcr became members of the Florida Municipal Pension Tmst Fund (FIA—) and rite
individuals named az Master Tustees purs to Aricle X of the Master Trust Agreement and
their successors (such trustees wllectively re —d to as the "Master T,vsteos'). Article IV,
vSuathMthfet—,,rymtl diceioo mgnd wtethe asssoIll, M uTsrustees have the exclusive
Ttuat held by it according
to the provisions herein.
PURPOSEANDSCOPE
The Florida Municipal Pension Truss Fund Mazier 1'rlstee1 haz established the herein investment
policy and penfolie guidelines to azsist Ne Adminisrator in the administration of the assets of
the Master Trot Pmd; to guide the investment managers in,try .—g portfelios eovsistent with
the Muter Trust Fund', desired peffotm— results and an acceptable level of risk; and to
usme the Master Tust Fund azsets are managed in a prudent Cashion.
The Scope of this policy is:
I) Applicable to all fmd,, assets and progenies under the eoutrel of the Master
Tr s
2) Applicable to all consultants,egoists, and staffresponsible to the Master Tms—.
III. INVESTMENT OBJECTIVE AND EXPECTED ANNUAL RATE OF
RETURN
The primary obi.1m b, b, ,eek tang -term growth of oapital and m with
n of capital. Necessary liquidity will bo maintained b meat payout requirements.
Empl s0s i" placed on achieving wnsistem rotums and avoiding --I volatility in market
value.
As of October I of each year, the El—, Trustees shall determine for the defined benefit plans in
the FMPTF the total expected amual rate of return for the current year, for each of the next
eras years and for the long -tern, thereaflmf. Fill, expocted annual mte of,olum for d,e ourzent
year and long -rem, thereafter is1.5%. anti l amended by the Master Trustees This determination
usl he filed p,omplly will, the De --of Mvnagemem Services, the Administrator, Master
Trustees, end the A-il, Specific member plan provisions may supersede this expected I-
'� ofrcturn by approval of the AdminiavntoranJPlvnAuuary-
DUI I tS AND RESPON'SIDILI l'IES
Under the direction of the Maxtor Tms1c it shall be the responsibility of the Administrator to
supery and adminiatu the Maslcr'fmst Fund's in ,t program purrovant to
agree nt betweGf tho Mentor Trust fund and the Administrator including, but not nritm to,
rite follo.ving:
1. Supervise and ooerdm-the activities ofquah5,d invcalment managcmedf finris,
dealers, broke, issuers, custodians, consultants and other investment advisors m
keeping with this investor N policy.
2. Provide M— and as n the administration add operation of the Master
Trust Funds investment prograra_
3. Establish nccounfdg syms and procedures for the safekeeping, disposal of and
carding of all investmestent assets held or controlld by the Master Trust Fund
including the establishment of appropriate internal controls as rrqui—
0._ Assist m rho design, development, operation, review and evaluation of Ne Master
Trust Fund's investment progrard for compliance with this policy. Advise the
Man er Tru endati rotative to endmenls to this policy.
Inform tiro Master Tmsteesof unaddressed concerns with the Master Tmst Fund's
mverstmant program.
5. Immediately notify the m,w Trustees of any evodt or of any information that
—Y hav and advc e effect n tiro Master Trust F-T, Investment
progrvn under the provlstoas of Nis PA,
INVESTMENT AND FIDUCIARY STANDARDS
The standard of prudence to N, used by invc —,t advisors, money managers or other qualified
parties or individuals with commuted investment responsibilities with the Master Trust Fund (the
"Managers") eball be by "pmdont person' which provides that the investments of the Master
Trust Fund shall be made with the judgment and care under the circumstances then prevailing
which persons of pmdence, discretion and intelligence exercise in the management of their own
affairs, not m regard to speculation - in regard to the pcmranent disposition of the invested
--, 1'mst Funds considering the probable ineodle, total rat— and probable safety of thane
Master Trust Funds. Managers shall adhere to the fiduciary sta ,& set forth in the Employee
Retirement Income Sac nr A. of 014 at 29 U.S.C. s. I104(aEl)(A) through (C). individuals,
eting m accordance with established procedures and exercising due diligence, shall be relieved
of personal responsibility Car an individual se uritys credit nsk or market pncc changes,
provided devinlions Cron exp—f— are reported m a timely fahion end appmpnate action is
taken to nummiae any invcstmGlt losses.
Any individual who is involved in the investment process shall re(rnin from personal business
vity that mould con0icl with pmpor execution of the invcsfmcni progrenr, or which could
npair their ability to make impailial invcstmentdccisions Managers shall have a written policy
which addresses the disclosure of potentinl eon pictofimernsts which shall be submitted to the
Ad
m upon Manager sha nlso discb the Adm any n n'al
oiaVinveshnuu Position or boding which ntay bo con�rnryto th is policy or otherwise releeed,
onaiho perfomranw of the Mosmr Tmst Fand's portfolio. Any adverse Endings oC the u-S.
Department o[ Labor or the Seeurltie" and Exchange Commission rogard log a Manager of its
denoiel achviGcs shall be brought to dte immediate attontion of die Mxsmr Tivstces by the
A
Administrator once the Administrator is notified
Der re engaging in any investment transactions with the Master Ttvst Fund, a Manager shall
have submitted to the Adminishatora signad certibeation from a duly authorized rep rescntative
ring that the individuals responsible fur the Master Tnst Fund's acwunt have reviewed and
shall comply with this investment policy and that they agree to undertake reamnabic efforts to
preclude impmd-( trensaetoru involving the fonds .17111. Mastar Trust Fund,
INTERNAL CONTROLS
The Master T-1— require that the Administrator and any odrer designees establish a system of
coal controls which shell be in writing These control" shall be reviewed by independent
ertified public accountants as pert ofv required periodic financial audit periodically required.
"Che internal contrels should be designed to pr—,,t losses of M.- Trust Funds which might
e fiom @aud, e srepres n by third parties, or imprudent acti— by the Master
a
Tmstees, Administmtorr orr bfi— de"ignws
VII. BROKE RAGE AND BID REQUIREMENT
Investment managers shall use their best W— to ensure that portfolio trawachons are placed
�bia best on basis. The Master Tmstees intend to utilize recapture commissions when it
does not bit"I", wirh best ex solely at the discretion of the all rok
in onagers
Managers e required to a quarterly bas report berage v andtre ns for
sing brokers to rho Master Trustoas. The Investment Managers shall wmpetitvely bid
st econin question when Tensible and appropriate. E-,b as otherwise required by law, the
moomically advantageous hid must b,, selected.
Vill. PROXY VOTING
Responsibility for the voting of proxies shall be with the Master Trustees. The Master Trustees
may exercise the right to assign this responsibility to the investment managers Since proxy
y be considered an asset of the Master T— Fund, the lligunent of voting proxies
"halls ma
be exorcised solely in the interest of the participants and beneficiaries of the Master Trust
Fund, and for the exclu"ive per — oC providing boneGts to parlieipanrs and beneficiaries.
Documentation related to the handling and voting of proxies will be reported to the Master
Trustees on a quarterly basis.
IN. CON"CCNUING EDUCATION
'fhc FMPTF vcknowledgea rho importanco ofwntinuiog cduc -, for Master Trustees. To that
cnQ the Master Tmstees shalt encnd approprttnc educauonel con Cercnws in wnncction with
t heir duties vnd responsi bill tics as Mestcr'frtrstccs_
Iti;l'OR'I I NC ANl]PEIiFORMANCV ME.\SD -lb,I
The Adminislramr shell submit to the Master s a quancrly it nt report with
iipdneefrom6rinrmnadtainocbn cy nfrofrticicm to prode for a wp 1...ive ofmndthe qu hall lbe urea gnst ty nd
ue M.r T-1es Cor evoh investment category- This report shall s.mmari2e
racket emb lions. ec is developmenB and a icipxtd im endifi.— The
capon should elm,u'' a b, Ibeninvesdnem stalegies cmpl.yd in th. monnmcent ginner, and
describe the portfolio m terms of investment sin tribes. mvttrntres, risk charxctcristi.a adherence
[o guidelines end arbor relevant features.
Managers shall provide timely tr and perfomtance data to morel and document
vity including asset valuat on, yield and total return date and such other relative
per6mrancc data of the Master Trust Fund', portfolio on a periodic basis as may be reasonably
«quested by the Administrator.
Thn Adminisnator, Manages, and .Brut oonua.tcd parties shall provide to the Master Trust
Fu.d's Auditor such verifications or reports . arc required for the purpose of developing and
supporting the annual financial statements ofthe Master Trust Fund, and the footnotes thereto.
Managers shall provide immediate wrihen and telephone notice to the Administrator w the
Master Tnral Fnnd .f any sig.ifi— evens specifically but not limited t. dtc resign 6t
termmatlon art capacity fany sonar personnel.
XI RISK AND DIVERSIFICATION
The Board will monitor rho return per .tit of risk (as .ensured by the standard deviation of
quancrly caroms) of the Master Trust F-d's assets on an ongoing basis, with inch Manager's
bibution being reviewed mdepeod.nim lly wd as to its p- on rho overall Mastro Trust
F.d's investment return and volatility of results over time. Each manager's wmnbutlon will bo
measured against similar data for appropriate benchmarks.
I.v nt guideline and m riog will provide c cols for identifying and lint ting risk of
6ss from n of a , � ested in a Vp ific n city, with a single in like
orodenlers for throughbili7stioo of intermediaries for purchase end sal, of
Risk and diversification strategies shall bo reviewed end rrvisod, if necessary, on a regular basis
in light of the current and projected market condition ud the Master Trost Fund', needs.
Assets in the Master Truer Fund shall be divcrsifid among equitieshxcd income, and real rslate
call portfolio nsk co swhirave titc rl of expected re and thereby
.prove the lo.g�tcnn re m potential ofthe Master Trust Fund's assets. The Master Tastcm
c the r,ghl m add additional diveraih.nti.n by retaining multiple .anagcrs or portfolios.
r upon Master Trustee approval end arnendntenl to Ibis P.licy, to further minimize ponfolie risk
or t. marntamn the love) of cxpmtd rclur.
Inv toll b sulcc Iih Gll n cular di. xi Eying rolr, within the
—1,uo. Ilislhceofthc Mas cr Trus:cvs ogm
c:elt Inver�mcntenvtagvcrssubstanualcd�':�scre:ion oveI'll, c assets �mdcr its control
ASSNI ALLOCATION ANII PNItI M1,10 COfvl VOSI'r1ON
—bs of the Mastu I—, Fmtd shall be invested in a di,—ifiId portfolio consisring of cgvity
and debt. Allhongh cash is not included in the ass, allocation f the Mastnr Tmst Fund, surylus
cash 0ows, additional e tlributions vnd is anagcr cash will be ulilild to pay
obligations of the Masmr Trust Fnnd and pcnodic ro-balancing of the assets. The Master Trust
Pond may cotuider invesmrcnl".' other usct clasacs which offer potential eMvtcement to total
reran al risks no greater than the cxposum undo l he initially seleacd as set classes.
From time to time the Mastu 'I'ntstccs will adopt asset all -A- strategics within the ranges
specified belew_
Maximum Limitation
Pquit es y0% at market
The Master T-1— may employ an mdcpevdrah consultvvt to perform an annual, or more
hoguent, Asset Allocation Report that will inclod, but not be limited to,a stmlcgie analysis and
report on asset allocation in is between different types of ivvestmcnts and eppmpn-
changes o the pare Mager the uiv. Tl- study .will be used to assist the Master Trustees in the
is
date n of the appropnatc investment ello CII o m taximiu the return and mirumize the
risk I [hcr dellpoolcd assets of the Mastu Trust Pend_ This study may ineludc arceommendat
Id oete user classes u warranted by the risl✓reward analysis and by Master Tru-stee-
approval.
The Master T-1— are not bound by accept— or denial of rcwtmncndetiotts presumed m
onjunction with the Asset Allocation Roport
Il is 1 lho intention oCthe Master T-1 Fund to bccomo involved in the day -today iovcslmenl
decisions. Themfore, the investmcm managers am authorized by tltls document to make asset
allocation decisions to rcallocatc or redirect either—tdbvtions or the investments held by the
Muter Tntst Fund in order to laka vd vamega of ehenging market conditions. Any taotical
allocatioI that will cause the allocation of the investment classes to vary horn the approved
alegic allocation percentages of any asset class by more then 5% requires approval by the
Master Tntal Pond Chairman.
The invcstmcnl mvtagus will report to dre Master T—N,, al their q—,fly meetings on the
(adtcal vnd re -balancing allocation decisions made daring the prior quarter.
\III. MA'IUIif1Y AND I,IQUIIII'1'Y
lire Mestcr I —, Fund shall prorido nlOielcnt liquidity to meet any regnimA pa}anenr
XI V. AUTIIO ItI ZF.D I NVESTh1ENTS
fit apt elfin b, accimphllb the objectival of Ole Master Trust Fund, lliis policy identifies various
autnodzed irtvasunmit in cr diveaifi-ion, matunry oo svntnF, mvestmene r rings
and liquidity parameters-s The following are authorized investmentsa
A, Repurdtase Agrcem,nu wluAt are proh— only from dealers authorized by the
Mate' Tmstces vbl may obly involve the sale and repurchaze of—trilies authorized for purchase
by Ous invesmtcut policy. Maximum maturity at pumhase shall not exceed I80 days with a total
uage maturity, at any paint is time, for all r,—h— agccmonas held of not gear,, than 60
days
D. Bit- obligations of Ne United States Treasury including Bills, Notes. Bonds and
venous Coons ofTreazttry zero coupon securities.
C. Any authorized in is pi Abased by or through Or, State Board of
Admhu", tion or the Offioc of the State Treasurer and held on behalf of the Trust in a
commingled pool or separate account.
D. CommucW paper issued in the United States by azry mM—fm, provided that
such iashument carries a rating of WM' (or cempaable rating) as provided by two of the top
ovally recoguzed statistical rating organization; and that Ne wtpostion's long term debt if
any, is rated at 1=1"M A+" by a nationally rec pjM statistical rating organization or, if backed
by a letter of credit (LOC), Ube long lean debt ofthe LOC provide, muss be abed at I" "AA" (ir
omparable ating) by at Icast tw of Ute m
n natty recognizW s cal rating agencies
publishing ratings for financial institutions. Themaximus —liriry shall snot exceed 270 days
from the time of pt'd—,
E. Bankers Acceptances issued within Ute U.S. by institutions witl, a Ioag te,m debt
sting of at (east "AA" ,r short tear debt sting of pl (or oompazabin stings), as provided by ono
unity rewgtdzW statistical acingorganization. Bxeeptions to tnc above may be app,ovW by
theb Administrato, him time to time and repined to the Board of't'rustccs. Tho invested I--
ofa Manager nay ow re than five pere,ntoftheportfolio in bankers acceptances i—W by
any one depository inshtuhon atone rims. Maxlmwn maturity shell not I—_ 270 days him the
ttmo arpur,naze_
F. Nonnegotiable Certificates of Deposit i—d by Florida Qualified Public
Depositories as idcmifi W by the State'Reaz -I off— /or negotiable Certifiontes of Deposit
,slued in U.S. dollars by institutions, p,ivided suAt institution canics ashen tcnn sting ofet Icaat
'AI/pl" (or ontparablc IalinS) vrd a long term rating ofa (cast "A' (or oompaablo rating) rev'
provided by two of the top ma ovlly rewgnized riling agendas. Toe in sted ae t of a
Mubvger may own no ram, thaurS1,000 000 in-bfi,,,- of any one depositiry insti Wtion at anc
hme Munimunt mat rity ui y nkmc shall be 2yevs.
G- Obligati bb i the aga, iali,i oC tl,e Feder Gov
ncluding ut not lin,i�ds to he Fedrml Honc Loan MOrtgago tion, Federal National
Mortgage Association, Fedcml Home Loan flanks, Federal Fwn1 C-bCrodit parks, Student Loan
Marketing A soc,ahon, and tl,c Resolution Mesicr'frnst Funding Corporation.
li_ Money Market Mutual Master fonds as defined and regulated by the
Seu,niies Exchange Commission. Money Markei'Master Trust Funds will be Ilbb1,A to monies
held by nustees, .,mg agents, safekeeping "gems, etc., as a temporary investment to facilitate
relationships as delineated above
I. Mottgagc obligations guntanterA by the United States Government and sponsored
agencies or i,.atnnnenlsliliea including but not limited to the Government National Mottgagc
Association. the Federal National Mortgage AsI—.1ioi; and the Federal Home Loon Mortgage
Cogrorution. Moilgagc-backcd s inclumo ding rtgapass ge d,rnugh s " and
Collateral- Mortgage Obligadone(CMO) issued, guarunteed or ba - by anagency o
mality o[ rho Federal G.—b,,t or other mortgago securities ioduding CMOs rated
AAA or equivalem by a nationally recogbiz statistical rating organiaatiou. Derivative mortgage
securr tes, such as interest only, principal only, residuals and inverse floaters are prohibited.
I. Corporate Fixed Inc me Sec sued by any corporation iv the United States
with any A rating A Manager may hold nomoresiban 5 percent -lb, invested account in any one
wrporabb, vt tl,etime ofpwahase.
K. As ,Backed Secuities issued in the United Stets
L Securities of State, Municipal and Ceunty Governments or their public agencies,
wich har rate4 in the three highest rating c-pnes by a nauonal recognized .adical rating
organ zabon.
M Commingled govenunental in ,o-load in nt Master Tmst
Fwds, or noload mutual Master Trust F'undsvin which allssecunties held by the — or Master
Tryst Funds ue authorized investments as provided herein or as may be approved by the Master
Trusters.
N. Guwontoed [nvostn,ent Contacts (GIC'a) with insurance wmpanies rated in the
highest category by AM Best Racing System or a comparable nationally recognizetl statistical
rating orgunizvtion.
O. Inveatman Agreema,ts with other financial in s.
nIf oellateralized, the
eollataal sec ring the investmen, agb_",e't shell be limibl to Iloscsee authorized for
purchase by this investment policy. The invested account of a Manager cony owq at one titre, no
more bbbb S lo,000,000 in inveshnen! agracmcnta [ion, v,y one hnanoiel instieution.
Equity Assets includ'u,g c rock pmlerrul stock and imerest bearing
obligati ns having ai op,ion m wnvice,mto common stock.
Q. Secnnties lending,virb approved dalcas and eustodiens.
li. Ilondn Munie'ipaf Investment Tnai (FM Iv'I) Port(olios-
VALU.A'I'I ON OF I T I()UID INVESTMENTS
If illiquiU iuvestntenu for which a generally recognized market is iet available or for which
there is n or ccept generally aed pricing mechaninn. dria set fort ie criteh in Section
2150y(6)o Clondoc Stmmcs, shall apply, except that submission to n Investment Advisory
Council is not "","L For each plan year (de—d benef l plans only) thn Master Trusties
e
enfy the determination of the fair market value Al those investments en d ascertain that
Tedetearnination comples iwid' all appl-W' state and federal rcquiro -O, The Master
—1— shall disclose to the DGtart0"'1 o[ Manageanent Scrvieos vnd the Administrator each
such invcstmcnt for ,hid, the fair market value is not provided.
XVI. MASTER REPURCUASE AGREEMENT'S
All approved it oand deslcrs Ir ting repurchase agreements sha an all d
perform a emegreement clad in �sMas er Rupwchase Agrent. All r.p..hasc ato
shall sabers to the requirements of the M-1 Repu hale Agreement. This provision dos Oh
—h&ilt or limit the Icons ofv such Master Repurchase Agreement.
XVII. PLAN CUSTODIAN
A third party custodian shall hold all actively managed or non -indexed assets of the Master Trust
Fund. The plan custodian will operate in 1—ki ce with a separate agreement with the Master
Trustees. All securities shall he held with a Ilurd parry, and all securities purchased by, and all
collateral obtained by the Master Trustee shall be properly designated as an azset of the Maztcr
'Crustee. No withdrawal of securities, in whole or in part, shall be made 6om sufkceping except
by an vuthori- member of the Master Trustoc or Master Trustee's designee. Securities
us between e brokerdealu and the custodian involving Purchase or All of aeounties
by transfer of money or securities must be muds on a"delivery vs. ply. —basis, if applicable,
c that the custodian will have III, security or money, as appropriatq in hand at the
coy elusion of the transaction.
XVIII. CRITERIA FOR INVESTMENT MANAGER REVIEW
The Master Tustees wishes to adopt nv A.6 by which ohg..g retention of w investment
manager should be dale —d, With Ibis in mind,ate following guidelines are adopted:
If, at any time, any one of the following is breached, de Manager will be notified of the Master
Trustees' serious wncem for the Fnnd's continued safety end performance and that manager
tclnunatwn could occur -
I. Consistent performance below the fiftieth (10s) percentile in Ilse sped fed
rolling thryoarperiods-
z. conaiae,n ee-wmer-peformanee or duo amted target maex ones rou6tg mre�yoar
p -iads.
S. L. , by the manager ofany renbr perxonnel d�,ned demmc�ml m me ma„agerx
ability to perform rcquircd dutim-
4. Subsantial change in basic invcxtnient philosophy by lho manager-
s. Substantial change of ownership o(tlrc Om, deemed dctnmental to the managei s
vbili,ymperfon rcquircd dui
e- Faiwre to aaainnxi lacer a fnr-0ne (sl r> Pemem woro of n,e conndenea efine
P. Failummobxervc ,by guidelines assl:ncd in this doomncnt.
IY,is shall in no way limit or diminish the Master IYunees' tight to terminate We manager at any
tone Cor any rovson.
Investment Management Agreements will be entemd I- between the Mestu Trustee and each
Invesunent Management Firm Tl,e agl--Ills will include such items as Fiduciary Standards,
requirements. duties and resVonsibililiea and spvcitic in nt guidelines f r the
wagon t of the Master Trust Fovd and will be xubject to the rev pd., iow and approval of an
aPomey fortthe Master Trusted
All investment managers must be duly regixtered with the ap,,natc
apacingovernment agencies to
�n the city of ves - m ,l" oo behalf of the Mestor Tvn— Any investment
anagcr appointed shall promptly notify till, Master Trosme in the ev any cirwmstanoe
s that may r—It u, its tiling to continue to meet the requirements stipulated by the
respective gov mme t agcn '
Investment managei s pert nnanoe will be ovaloated with the az of pe,fi, co
mcazurement consultants on an on -going -ix and will be a pnmary criteria for their retention.
M. REVIEW AND AMENDMENTS
Ili ended that the in nagcrs sut[a,us, admininrator, and Maslen Trustees
w this doe nt periodically. nIf al vny 11 eager or oo sultan[ believes Ihet tl,e
specifc objectives defined herein cannot be met or athat the guidelines ur be Ibbly wntet
perfom,ance the Master "17-1 s shall be notified in writing. By the initial and continuing
ccptancc of lhcs investment guideline, the invcshnent manager concurs with the provisions
of this documcnr. e
FILING OF INVESTMENT' POLICY
Upon adoptien by the Master'rmstee, the Invenment Policy herein shall be promptly fled will,
I'll Department of Managomu,l S--,,, the porl'icipants in the FMPTF and the plan aclaary-
nflT ivn dale of this Invetmenl Policy, —i any ai endmen[ hereto, shall be the 31
calendar 'ay
t ."mg lho fling date with the plc, sponsor-
XXL F.FFECTIVI;DA'fl;
Tite Master r—I Hind's Investinuii Policy sbvll become etTective Ootob, I, 2Wo.
&,Idopted by NC Master Trusters on A— day of Der Mbe.�mo
�-
cnaimt
Florida Municipal Pension'DvstFmtd Muter Trvslecs
A(
ec rive Dutttor,
Florida League oCC't
For No Administrator