Laserfiche WebLink
San Leandro Investment Policy Statement Page 12 of 13 <br /> Appendix B <br /> Glossary of Technical Terms <br /> Local Agency Investment Fund (LAIF) - A pooled investment fund maintained by the <br /> California State Treasurer consisting of deposits from the State and from California <br /> political subdivisions. <br /> Maturity - The date that the principal or stated value of an investment becomes due <br /> and payable. <br /> Money Market - The market where short -term debt securities such as treasury bills, <br /> commercial paper and Banker's acceptances are issued and traded. <br /> Portfolio - A collection of assets (securities, real property, buildings, etc.) held by an <br /> investor. <br /> Primary Dealer - A group of government securities dealers subject to the informal <br /> oversight of the Federal Reserve Bank of New York. <br /> Primary Market - The market where investment ,securities are purchased and sold <br /> when they are first issued. <br /> Prudent Investor Standard or Prudent Person Rule - An investment standard that <br /> requires an investor having trustee or fiduciary responsibility to select securities that <br /> would be bought by a prudent person of discretion and intelligence who is seeking <br /> capital preservation and a reasonable income. <br /> Repurchase Agreement ( "Repo ") - An investment transaction where the holder of <br /> securities sells the securities to an investor with an agreement to repurchase them for a <br /> fixed price on a fixed date. In effect, the buyer lends the seller money for the term of the <br /> agreement and the agreement is structured to compensate the buyer for this. <br /> Reverse Repurchase Agreement ( "Reverse Repo ") - An investment transaction <br /> where an investor buys securities from another investor with an agreement to resell <br /> them for a fixed price on a fixed date. <br /> Safekeeping - A service provided by banks and other financial institutions whereby <br /> securities and /or collateral are held for protection and safety. <br /> Secondary Dealer - Securities dealers who purchase and sell securities that have been <br /> previously issued. <br /> Secondary Market - The market where securities are purchased and sold after they <br /> have been issued. <br />