IWA's Investments Policy

1.   Investments will take account of all known financial commitments.The market value, including cash, of the investment portfolios relating to unrestricted funds, plus the value of other funds in deposit accounts, shall be maintained as far as possible within the desirable range set out in IWA’s reserves policy.

2.   There shall be no investment in futures, forwards, options, swaps, hedge funds and other derivatives.

3.   No investment other than cash shall be made that takes the total value of any one holding to more than 5% of the value of the portfolio.  Where through investment performance any holding exceeds 5% there will be no immediate requirement to sell the excess.

4.   Investments to the value of at least the restricted and designated funds shall be held in cash, short-term deposits, index-linked stocks, or fixed interest stocks with a maximum outstanding term to redemption of 5 years.

5.   The investment managers shall report to the Investment Working Group at quarterly intervals, or more often if necessary, providing full details of the portfolio including

  • List of individual investments, listing purchase price and date, current market value, yield, % of overall portfolio value;
  • Overall portfolio value, broken down to show sector classifications;
  • List of transactions since previous report;
  • Performance of portfolios including comparisons with appropriate benchmarks;
  • Statements of capital and income transactions during the period under review;
  • Any further information, comment or recommendations as the Investment Working Group may at any time request.

6.   At least at annual intervals or more often if necessary the investment managers shall review with the Investment Working Group (a) the financial performance and future prospects of the portfolio and (b) the overall management of the portfolios in the light of the IWA’s then current investment strategy and policy.

7.   The Investment Working Group shall report in writing half-yearly to IWA’s Finance Committee, or more often as appropriate, on the operation of IWA’s investment strategy and policy and on portfolio changes.


Approved by the board of trustees 8th December 2012