Page 202 - 2019 Orientation Manual

with and monitoring the various Investment Manager(s) (Manager) that will be
engaged to manage the assets of the Association.

Responsibilities

Of the Association – The Association recognizes its responsibility to ensure that
the assets of the Association are managed:
 For the exclusive interest of the Association and its members; and
 Effectively and prudently, in full compliance with the laws and principles
governing professional and trade associations.

Of the Board – The Association acknowledges that the ultimate responsibility
for investment rests with its Board of Governors. Its responsibilities are:
 Development and adoption of sound and consistent investment policy;
 Development of sound and consistent investment policy statement;
 Establishment of appropriate investment objectives;
 Allocation of Association’s assets; and
 Monitoring and evaluating investment performance.

Of the Investment Subcommittee of the Budget Committee – The
Subcommittee is charged with oversight of the management of the
Association’s funds, including ensuring adherence to the investment policy
established by the Board of Governors. This shall be accomplished by:
 Independent monthly review of investment performance based on
statements provided by investment management firm and LSBA staff;
 At least quarterly subcommittee meetings to review investment
performance and compare to established benchmarks;
 Annual review of LSBA Investment Policy, including asset allocation
model, with recommendation to Board of Governors as to whether to retain
or amend policy;
 Reports on investment performance at each meeting of Board of Governors;
and
 Ongoing interface with investment management firm retained by Board of
Governors, including at least annual face-to-face meetings to review
investment performance.

Of the Investment/Portfolio Manager – The Association vests the following
responsibilities with the Investment/Portfolio Manager:
 Management of Association assets in accordance with the Investment
Policy Statement;
 Exercising complete investment discretion over the assets, which shall be
allocated in accordance with this Investment Policy Statement;
 Investment of Association’s assets with care, skill, prudence and diligence;
 Expedite sale of any security purchased outside of guidelines; and/or
expedite purchase of any security which by downgrading falls below these
guidelines. Board or Governors or its designee shall give manager