Investment Policy
  1. The overall objective of the Trusts investment policy is to preserve the nominal value of gifts and bequests made to the Trust (Trust capital).
  2. Decisions on management of the Trust’s capital and operating income are made by the Trustees.
  3. Trustees are expected to declare perceived or real conflicts of interest when discussing and making decisions on the management of the Trust’s funds.
  4. Gifts and bequests will be treated as capital unless the giver directs that it be treated as operating income.
  5. Donations received may be treated as capital and/or operating income at the direction of the donor. If no direction is received, the Trustees will determine how to apply the donation.
  6. The Trust will maintain sufficient short term funds in the current account, and/or on call savings account, to meet cash flow operating expenses and grant payments.
  7. The Trust will invest other funds for longer terms in fixed term investments (e.g. New Zealand government stock, bonds, or bank deposits) and spread the maturity over different years to minimise the risk from changes in the level of interest rates. Bond and Term Deposit Organisations are not to be rated lower than AA- on Standards and Poor’s long term rating scale.
  8. The Trust may also invest in equities (NZ and International). To minimise risk, any equity investment is to be through a professionally managed equity investment fund rated 5 stars by Morningstar.
  9. Any equity investments may only be made with prior approval of the Trustees. The Trustees must agree that any such equity investment will take into account the activities of the business, and whether these align with the principle of ethical investment.
  10. The allocation of funds shall be:
    1. Cash - No Minimum
    2. New Zealand fixed term investments - No maximum allocation
    3. Equities - Maximum 20% of the nominal Trust capital at any one time
  11. The Treasurer will provide Trustees a Schedule of Investments at each meeting of the Trustees.
  12. Two Trustees with bank signatory rights (other than the Treasurer) are jointly authorised to approve the renewal of Term Deposits provided that the Trustees have considered the options and given guidance, and the investment is within the Trusts investment policy. Such decisions will be recorded by the Treasurer and notified to all Trustees at the following meeting.