IV.J. Investment Management

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Mission Statement

The BSC Investment Management Committee (IMC) will assist the BSC Board of Directors, including its Financial Affairs Committee, in fulfilling its oversight responsibility for the investment of BSC assets. The IMC is responsible for monitoring the BSC’s investments for compliance with BSC investment policies.

Organization

1. The Investment Management Committee shall consist of:
a. The Executive Director
b. The Vice President of Financial Affairs
c. A Board Representative who sits on the Financial Affairs Committee
d. A Board Representative or Cabinet Member approved by the Board
e. The Accountant or other professional staff member as determined by the Executive Director
f. Up to five Advisors recommended by the Executive Director and approved by the Financial Affairs Committee who are neither employed by the BSC nor a current member of the BSC. Advisors serve at the pleasure of the IMC and Board of Directors.
2. The Chair of the IMC shall be the Executive Director. The IMC may elect an alternative chair by majority vote.
3. The IMC shall meet once in the Fall semester and once in the Spring semester.
4. Either the Executive Director or any four members of the IMC may call a special meeting of the IMC.
5. A majority of the IMC shall constitute a quorum for the transaction of business at any meeting thereof, and the act of a majority of the members of the IMC present at any meeting at which a quorum is present shall be the act of the IMC.
6. Representatives of the custodian of BSC funds may attend meetings at the pleasure of the IMC, but shall not have voting rights.


Roles and Responsibilities

1. Disclose any affiliations with a proposed investment, fund, or manager by a IMC member.
2. Provide high level of input on investment strategy to Chair.
3. Oversee investment of the funds of the BSC, monitor the risk and potential reward of specific investments and consider new investments.
4. Recommend whether the BSC should retain a professional investment advisor, subject to approval by the Board of Directors and Finance Committee. If a professional investment advisor is retained, the IMC shall evaluate performance.
5. Evaluate investment performance based on a comparison of actual returns with the BSC’s return objective and other appropriate benchmarks.
6. Prepare instructions for the custodian of BSC accounts.
7. Periodically review and assess the adequacy of this charter and recommend any changes to the Board of Directors.
8. Attend to such other matters as the Board of Directors, Financial Affairs Committee or Chair may from time to time determine.
9. Maintain minutes of IMC meetings and report regularly to the Financial Affairs Committee.


Investment Policy

The purpose of this Investment Policy is to support the mission of the BSC by providing guidelines for the BSC, its Board of Directors, and IMC to effectively invest the BSC’s non-real property assets.

1. The objective of the BSC’s investment strategy is to maximize returns within prudent levels of risk.
2. The BSC shall take into account the cost of the investment transaction (including any professional fees) in evaluating investment returns.
3. In general, investments shall be made so as to minimize the risk of large losses from a single cause, unless under the circumstances it is not prudent to do so.
4. The investments for each investment fund account shall be selected with the care, skill, and diligence under the circumstances then prevailing that a prudent person acting in like capacity and familiar with such matters would use with respect to an investment fund with similar aims and constraints.