Summary of Municipal Investing Options and Regulations

Trevor Pinn, Director of Financial Services/Treasurer, presented on municipal investing options and regulations during the General Government Committee meeting on January 25, 2021. He discussed the legislative environment, current investments, and future options available to the municipality. Pinn outlined two primary investing options: remaining on the legal list with the current investment policy or transitioning to a prudent investor model. He explained the types of investment instruments permissible, including bonds, debentures, and promissory notes, noting that corporate debt must be secured by a trustee assignment. Pinn also detailed the ratings of various financial instruments and the differences between the investment board and joint investment board under the prudent investor model. He concluded by stating that the municipality could either maintain its current strategy, review and adjust the investment policy, or transition to the prudent investor approach. The committee received his presentation for information, as noted in Resolution # GG-050-21.