6.0 Ethics and Conflicts of Interest Officers and employees involved in the investment process shall refrain from personal business activity that could conflict with proper execution of the investment program or which could impair their ability to make impartial investment decisions. Employees and investment officials shall disclose to the President of the College any material financial interests in financial institutions that conduct business with the College, and they shall further disclose any large personal financial/investment positions that could be related to the performance of the College, particularly with regard to the time of purchase and sales. 7.0 Authorized Financial Dealers and Institutions The Finance office will maintain a list of financial institutions authorized to provide investment services to the College. No public deposit shall be made except in a qualified public depository as established by State law. All financial institutions who desire to become qualified bidders for investment transactions must provide the Finance office with an audited financial statement or annual report, a completed broker/dealer questionnaire, and a certification of having read the College’s investment policy. 8.0 Authorized and Suitable Investments The College is authorized to invest in instruments as outlined in the Maryland annotated code article 95 and Maryland state finance and procurement article 6-222. 9.0 Collateralization Collateralization will be required on certificate of deposits, repurchase agreements and the Investment Pool unless the financial instrument invests 100% in obligations of the United States Government. In order to anticipate market changes and provide a level of security for all funds, the collateralization level will be 102% of market value of principal and accrued interest. Collateral will always be held by an independent third party. A clearly marked evidence of ownership must be supplied to the College. All investments must be fully insured by the FDIC or collateralized by United States government securities unless the financial instrument invests 100% in obligations of the United States Government. 10.0 Safekeeping and Custody All security transactions entered into by the College shall be conducted on a delivery- versus-payment (DVP) basis. Securities will be held by a third-party custodian designated by the Director of Finance and evidenced by safekeeping receipts.
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