Library Investment Policy
portfolio should be managed in accordance with the Prudent Man or Prudent
Person rule. The definition of prudence is based on RSA 31:25-b as follows:
“a prudent investment is one which a prudent man
would purchase for his own investment having primarily in view the preservation
of the principal and the amount and regularity of the income to be derived
policy applies to all money and financial resources, governed by the Library Board of Trustees, available for investment
on behalf of the Amherst Town Library.
objective of the library’s investment activities are
- legal: to conform with all applicable
federal, state and other legal requirements
- safety: to adequately safeguard
- liquidity: to provide sufficient
liquidity to meet all operating requirements
- yield: to obtain a reasonable rate of
Library trust funds are overseen by the Library Board of Trustees. An elected Treasurer and
Chairman of the Board are empowered by the Board to act as agents to expend
funds and execute tasks associated with day-to-day management.
The Treasurer of
the Library Board of Trustees will
report on the value and growth of Library
Trust Funds and transaction history at monthly board meetings, a minimum of 4
times per year.